Lessons For NNPC as Its Counterpart, Saudi Aramco Plans $50 Billion Stock Listing, Biggest in The World
- The world’s largest oil company, Saudi Aramco, is planning the world’s largest IPO
- The company arranged the offering earlier but cancelled it due to regulatory concerns
- The development comes as Nigeria’s NNPC plans a roadshow for its IPO this year
The largest oil company in the world, Saudi Aramco, is said to have the most significant bid in the world, the Wall Street Journal report said.
Officials of the oil firm said it plans to sell about $50 billion worth of shares, which will be the largest in the world if successfully executed.
Source: Getty Images
Saudi Aramco moves to avoid challenges of listing in the US
The country has decided to hold any fresh Aramco offering on the Riyadh stock exchange to avoid regulatory concerns arising with international listings.
Saudi Aramco is the world’s largest oil firm, with a market value of $2.25 trillion, with its shares up 20% in 2023.
Reports say the company could hold the offer before the end of 2023 despite a final decision still being awaited.
The oil firm has attempted stock listing, with the Kingdom’s Crown Prince Mohammed bin Salman staking his reputation on Aramco’s vast IPO some years ago.
The IPO includes a possible sale of New York Stock Exchange shares but doubts about valuation and the risks concerning the 9/11 attacks delayed the offering.
The move stopped the national oil company from pursuing the most extensive offer. It chose to list in Tadawul only on December 11, 2019, when 1.5% of its value began trading on the stock markets.
NNPC plans investment roadshow ahead of IPO
Meanwhile, a few weeks after the Nigerian National Petroleum Company Limited said it had received President Bola Tinubu’s consent to proceed with its IPO, Nigeria’s oil sector regulator says it will soon begin an international investment roadshow for investors.
The company revealed this in Lagos on Monday, August 28, 2023.
Gbenga Komolafe, head of the Nigerian Upstream and Petroleum Regulator Commission (NUPRC), said the roadshow will help investors see the enormous potential in Nigeria’s oil and gas sector.
BusinessDay reports that an investment roadshow is part of a series of presentations made in various Upstream International Investment and Financial Roadshows that will provide an opportunity for new asset recipients in the IPO.
Saudi Aramco reports 'record' $161 billion profit for 2022
Legit.ng reported that Saudi Aramco said on Sunday it achieved "record" profits totalling $161.1 billion last year, highlighting how a surge in oil prices after Russia invaded Ukraine spurred growth in the world's biggest crude exporter.
The mostly state-owned energy giant, the world's second most valuable company behind Apple, said in a filing with the Saudi stock market that net income for 2022 was up 46 percent from $110 billion in 2021.
The results -- the strongest since Aramco became a listed company in 2019 -- were "predominantly due to the impact of higher crude oil prices and volumes sold, and stronger refining margins," it said.
Source: Legit.ng
