Wednesday 23 February 2022

#Saudi Wealth Fund Weighs Options for Aramco Stake - Bloomberg

Saudi Wealth Fund Weighs Options for Aramco Stake - Bloomberg

Saudi Arabia’s sovereign wealth fund has kicked off discussions about how to monetize its roughly $86 billion stake in the world’s largest energy company as it seeks to raise funds for ambitious investment goals, people familiar with the matter said.

The Public Investment Fund is evaluating options for its 4% holding in Saudi Aramco, the people said, asking not to be identified as the matter is private. Potential advisers are pitching a range of possibilities, including a full or partial sale of the stake, or raising money by pledging the stock against the issue of convertible debt instruments or loans, the people said.

Talks are at an early stage, and it hasn’t made any decisions on which path to pursue, the people said. A representative for PIF declined to comment.

The Saudi government transferred the 4% stake to PIF earlier this month. That was shortly after Bloomberg News reported that officials were discussing a fresh stock offering of the company, which raised almost $30 billion in a 2019 initial public offering. The government still holds 94% of Aramco, while the free float is around 2%.

No comments:

Post a Comment