Saudi Aramco had the world’s largest initial public offering, valuing the company at about $1.9 trillion in December 2019.
The Saudi Arabian Oil Company, commonly called Saudi Aramco, listed shares on the Saudi Stock Exchange, or Tadawul. Its offering raised about $25.6 billion, and an additional share-allotment option later increased the total to about $29.4 billion.
Saudi Aramco is one of the world’s largest integrated energy companies. Its operations include crude-oil production, refining, natural gas, chemicals, and distribution. The company’s enormous hydrocarbon reserves and production capacity explain why its valuation is often compared with the biggest technology companies.
The IPO is sometimes confused with the company’s total market capitalization. An IPO raises money by selling shares; market capitalization is the value of all outstanding shares at the current market price.