Saudi Aramco became the first company to reach a $1 trillion market value through a stock exchange listing in Saudi Arabia.
The state-owned oil producer began trading on the Saudi Stock Exchange, or Tadawul, in December 2019. Its initial public offering raised about $25.6 billion, making it the largest initial public offering at the time. The offering sold a small percentage of the company to public investors.
Saudi Aramco’s valuation was closely watched because it linked the world’s largest oil companies to the public markets. The company operates enormous oil and gas reserves and is a central part of Saudi Arabia’s economy.
The IPO was initially priced at a valuation of about $1.7 trillion, below the $2 trillion target discussed by Saudi leadership. Market value changes after listing as the share price moves, so the IPO valuation and later market capitalization are separate figures.