Saudi Aramco Ready To Go Public, But Decision Depends On Shareholders - Executive

MOSCOW (UrduPoint News / Sputnik - 12th August, 2019) Saudi Aramco energy giant is ready to launch an initial public offering (IPO), but the final decision on going public should be made by shareholders, the company's Chief Financial Officer Khalid Al-Dabbagh said on Wednesday.

Earlier in the day, Saudi Aramco held its first-ever investor briefing, which focused on the results of its financial performance in the first half of 2019. Many view this decision as a step aimed at boosting the company's transparency in light of potential public listing.

"The company is ready for the IPO, the timing of the IPO itself is a shareholder issue. They will announce it depending on their perception of what would be the optimal market conditions.

But as far as the company, the company is ready for the IPO," Al-Dabbagh said at a briefing.

The plans for Saudi Aramco's IPO as part of the kingdom's Vision 2030 economic overhaul plan have reportedly been delayed a number of times. According to media reports, Riyadh expects the IPO to value the oil giant at some $2 trillion and if such would be the case, listing 5 percent of the company will raise $100 billion.

However, the oil giant's financial results for the first half of 2019, released earlier on Monday, have revealed a 12 percent drop in net income, to almost $47 billion, in comparison with the same period last year.