No Riyadh rush as many global investors steer clear of Aramco IPO - Reuters:
The Saudi Aramco IPO was supposed to be a cornerstone of Crown Prince Mohammed bin Salman’s ambitious plan to open the gates to foreign investment in the kingdom. But there’s no sign of a stampede.
The state oil giant confirmed on Thursday that its initial public offering would be the biggest in history, raising $25.6 billion. The offering will surpass Alibaba’s 2014 New York flotation and value Aramco at $1.7 trillion - still short of the prince’s $2 trillion goal.
However many global investors focused on emerging markets are set to stay away when Aramco debuts on the Riyadh bourse, expected next week, according to information provided to Reuters by 26 major asset managers outside the Gulf region who collectively manage more than $7 trillion.
Most of the active fund managers said they would likely steer clear of the IPO, citing persistent concerns about risks around governance, the environment and regional geopolitics.
No comments:
Post a Comment