Saudi Aramco’s initial public offering (IPO) of stock is oversubscribed, according to the Wall Street Journal. As of November 29, the state-run company’s IPO had attracted $44.3 billion worth of bids, equivalent to 1.7 times the amount the Saudi government was hoping to raise.
So far, most of the bids have come from investors in Saudi Arabia and other countries in the Persian Gulf region. Institutional and international investors have mostly stayed away from the sale, which is due to be formally priced next week.
Saudi Aramco, which has been valued at $1.6-1.7 trillion, will be listing 1.5% of its equity on the Tadawul exchange. The sale could bring in as much as $24.1-25.6 billion, making it the largest IPO in history.