Saudi Aramco raised about $25.6 billion in its 2019 initial public offering, then the world’s largest IPO.
The offering listed shares of Saudi Arabian Oil Company on the Saudi Stock Exchange, known as Tadawul, in December 2019. The initial sale valued the company at approximately $1.7 trillion. Saudi Aramco later exercised an over-allotment option, increasing the proceeds to about $29.4 billion and reinforcing the offering’s record status at the time.
Saudi Aramco is the national oil company of Saudi Arabia and is one of the world’s largest integrated energy businesses. Its operations include crude-oil production, refining, petrochemicals, and energy trading. Because the company controls enormous hydrocarbon reserves and production capacity, investors often compare its valuation with the largest global technology companies.
The IPO was part of Saudi Arabia’s Vision 2030 strategy, which seeks to diversify the economy and reduce dependence on oil. The listing also gave the public a stake in a company that had previously been wholly state-owned.