Saudi Aramco raised the largest initial public offering ever, valued at about $29.4 billion, in 2019.
Saudi Aramco’s IPO took place on the Saudi Exchange in December 2019. The offering initially raised about $25.6 billion, and an additional share sale later increased the total to approximately $29.4 billion, making it the largest IPO recorded at the time.
Saudi Aramco is formally known as Saudi Arabian Oil Company. It is majority owned by the government of Saudi Arabia and operates across oil exploration, production, refining, chemicals, and distribution. Its public listing gave investors access to a small portion of the company while the state retained control.
The IPO’s fundraising total and the company’s market capitalization are different figures. The former is the money raised by selling shares; the latter is the value of all outstanding shares at the market price. Saudi Aramco’s enormous valuation is closely tied to the scale and profitability of its hydrocarbon reserves and operations.