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Saudi Arabia: Deft manoeuvres help Aramco break valuation records
The pricing of shares in the Saudi Arabian Oil Company (Aramco) initial public offering (IPO) at SR32 each gave the company a total valuation of SR6.4trn ($1.7trn). It meant Riyadh succeeded in achieving a record size for the flotation, with the $25.6bn raised beating the $25bn record set by China’s Alibaba in 2014. That was probably a minimum requirement for Crown Prince Mohammed Bin Salman (MBS), who had to accept his hopes of reaching a $2trn valuation directly via the IPO were unrealistic.
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