#Saudi Crown Prince risks destroying his own script | Financial Times

Saudi Crown Prince risks destroying his own script | Financial Times:

When Prince Mohammed bin Salman announced his plans to launch an initial public offering for Saudi Aramco, he said taking the world’s biggest oil company public would create “more transparency”. In theory, he was right. A well-managed IPO should subject the kingdom’s national champion to scrutiny like never before, forcing it to open its books and become accountable to outside shareholders. Three years on, Prince Mohammed, the headstrong de facto leader of the kingdom, is destroying his own script.

The Financial Times reported last week that the government is pressing wealthy Saudis to become cornerstone investors as part of a plan to achieve the $2tn valuation coveted by the Crown Prince. There is nothing unusual about securing anchor investors ahead of an IPO. But the fear is the heir apparent is determined to dictate the terms of the partial privatisation rather than leave it to market forces. The Saudi government denied putting pressure on families or individuals. Saying no to Prince Mohammed, however, would not be an easy option even if there were no coercion, given his propensity to detain or silence critics and rivals.