Aramco eyes IPO of its trading unit that could raise $30bn: Bloomberg

Most recently Saudi Aramco’s profit has surged 82 percent in the first quarter of 2022, beating the median of analysts’ expectations with the highest quarterly profit since it went public in 2019.
Short Url
Updated 17 May 2022
Follow

Aramco eyes IPO of its trading unit that could raise $30bn: Bloomberg

RIYADH: Saudi oil giant Aramco is weighing an initial public offering of its trading arm that could potentially raise over $30 billion, slated to become one of the world’s biggest listings this year.

The move comes as the oil major is benefiting from oil prices rising to record levels in the wake of the Russian-Ukraine war. 

As it is considering the potential listing of Aramco Trading Co., the oil giant is working with banks including Goldman Sachs, JPMorgan Chase & Co. and Morgan Stanley, Bloomberg reported citing people familiar with the matter. 

It could also sell a 30 percent stake in the division, which could make it one of the world’s largest IPOs in 2022, Bloomberg reported citing the unnamed people.

Most recently Saudi Aramco’s profit has surged 82 percent in the first quarter of 2022, beating the median of analysts’ expectations with the highest quarterly profit since it went public in 2019.


Closing Bell: Saudi main index climbs to 10,485 

Updated 6 sec ago
Follow

Closing Bell: Saudi main index climbs to 10,485 

RIYADH: Saudi Arabia’s Tadawul All Share Index edged up on Sunday, gaining 34.32 points, or 0.33 percent, to close at 10,484.59. 

The total trading turnover of the benchmark index stood at SR2.59 billion ($690 million), with 168 listed stocks advancing and 87 declining. 

The Kingdom’s parallel market Nomu also gained 100.37 points to close at 23,454.65. 

The MSCI Tadawul Index advanced by 0.13 points to 1,377.44. 

The best-performing stock on the main market was Nama Chemicals Co., whose share price increased by 9.98 percent to SR22.38. 

The share price of Al Masar Al Shamil Education Co. rose by 9.15 percent to SR23.85. 

Saudi Paper Manufacturing Co. also saw its stock price climb by 8.42 percent to SR57.95. 

Conversely, the share price of Canadian Medical Center Co. dropped by 6.37 percent to SR6.03. 

The stock price of Kingdom Holding Co. also declined by 3.16 percent to SR8.28. 

In the parallel market, Alfakhera for Mens Tailoring Co. was the top performer, with its share price advancing by 16.40 percent to SR8.80. 

On the announcements front, Theeb Rent a Car Co. said it had signed a long-term vehicle leasing services contract valued at SR110.4 million with Hungerstation Co. 

Under the deal, Theeb will lease 2,000 vehicles to HungerStation for a period of four years starting from 2026, according to a Tadawul statement. 

The statement added that the vehicles will be delivered in batches within the first six months from the contract start date, taking into consideration global logistical circumstances and procedures beyond the control of both the agents and the company. 

The contract is expected to have a positive impact on the company’s financials from the first quarter of 2026. 

The share price of Theeb Rent a Car Co. declined by 0.79 percent to SR37.80.