DUBAI: Saudi Arabian and international investors have subscribed to the initial public offering of Saudi Aramco in huge numbers, with demand for shares in the world’s most profitable company exceeding the number of shares on offer.
Financial advisers to the biggest IPO in history announced that bids to the value of $44.3bn (166.275bn riyals) have been received in total from institutional and private investors for the $25.6bn worth of shares on offer.
With the order books open to institutions until next Wednesday, that means the IPO will definitely be the biggest in financial history, and should, in theory, lead to a jump in the share price when trading starts on Tadawul the following week.
Institutional demand for the shares even bigger than from private individuals. Corporates in the Kingdom account for more than half (54 percent) of the bid value, with Saudi funds and investment institutions comprising another big chunk (24.1 percent).
Non-Saudi investors are looking for 10 percent of the offer - a comparatively big figure given the fact the IPO was not marketed outside the region.
Rania Nashar, deputy chairman of Samba Capital, one of the advisers, said the IPO was “a source of pride” for the Kingdom.
“It is an indication of success and a signal of confidence, further bolstering the reputation and prestige of a company that has unrivaled standing globally in the energy sector. This success corroborates the foresight and depth of the strategic decision behind this landmark moment not just in Aramco’s history, but also in the development of the Kingdom’s economy,” she added.
Sarah Al Suhaimi, chief executive officer of NCB Capital and chair of the Tadawul where Aramco will be listed, said: “The success of the retail tranche is mirrored in the institutional tranche where bids reflect strong demand coming from across the spectrum of investor categories, reflective of Saudi Aramco’s compelling investment proposition.
“We are confident that this will be maintained throughout the remainder of the institutional book-building period. This institutional demand also speaks well of the depth and diversification of the Saudi capital markets and its investor base,” she added.
‘Source of pride’ as investors scramble for Saudi Aramco shares
‘Source of pride’ as investors scramble for Saudi Aramco shares
- Institutional orders in the IPO included 54% from Saudi cooperates, 24.1% from Saudi funds and 10.5% from non-Saudi investors
- The subscription period for institutional investors remains open to Dec. 4
UAE, Syria foreign ministers arrive in Riyadh
- Welcomed at King Khalid International Airport by Saudi Deputy FM Waleed Al-Khuraiji
RIYADH: Sheikh Abdullah bin Zayed Al-Nahyan, the UAE deputy prime minister and Minister of Foreign Affairs, arrived in Riyadh on Saturday, the Saudi Press Agency reported.
He was welcomed at King Khalid International Airport by Saudi Deputy Foreign Minister Waleed Al-Khuraiji.
Sheikh Abdullah is in the Kingdom to attend an expanded ministerial meeting on Syria to be hosted by Saudi Arabia on Sunday, SPA added.
New Syrian foreign minister Asaad Al-Shaibani also arrived in Riyadh on Saturday evening to participate in the ministerial meeting.
He was also welcomed at King Khalid International Airport by Al-Khuraiji.
Saudi Arabia condemns attack on Chad’s presidential palace
- The attack, which occurred on Wednesday, involved gunmen attempting to storm the palace
RIYADH: Saudi Arabia on Saturday strongly condemned the recent attack on the presidential palace in N’Djamena, Chad, which left 19 people dead, including a soldier guarding the complex, and injured others.
The Ministry of Foreign Affairs issued a statement reaffirming Saudi Arabia’s steadfast support for Chad’s security and stability, while rejecting any actions that threaten the country’s peace, the Saudi Press Agency reported.
In its statement, the Ministry extended heartfelt condolences to the family of the fallen soldier and to the government and people of Chad. The Kingdom also wished a swift recovery for those injured in the assault.
The attack, which occurred on Wednesday, involved gunmen reportedly linked to Boko Haram attempting to storm the presidential palace, prompting a fierce battle.
The Chadian government confirmed that 18 attackers from a 24-member commando unit were killed in the fighting, alongside one security personnel. Tanks were deployed to secure the area.
GCC secretary general receives New Zealand’s ambassador to Saudi Arabia
- Al-Budaiwi congratulated Kingston on his appointment as New Zealand’s ambassador to Saudi Arabia, wishing him success in his duties
RIYADH: Secretary-General of the Gulf Cooperation Council Jasem Al-Budaiwi recently received New Zealand’s Ambassador to the Kingdom Charles Kingston at the General Secretariat’s headquarters in Riyadh.
Al-Budaiwi congratulated Kingston on his appointment as New Zealand’s ambassador to Saudi Arabia, wishing him success in his duties, the General Secretariat wrote in a report.
During the meeting, they also discussed a number of topics of mutual interest, notably the progress of negotiations for the free trade agreement between the GCC countries and updates on the joint action plan between the two sides. They also exchanged views on several regional and international issues.
Saudi authority issues health warning on food import
RIYADH: The Saudi Food and Drug Authority issued a warning about Country Butcher Boy beef pepperoni, manufactured in the UAE.
According to the Saudi Press Agency, the 250-gram packages with an expiration date of March 1, 2025, are contaminated with Listeria monocytogenes, a bacterium posing serious health risks, confirmed by lab tests.
The authority advised the public to avoid consuming the product and dispose of any units they may have.
Steps have been taken to remove the contaminated product from the market, and regulatory action is being pursued against the importing company, the SPA reported.
Violations of food laws can result in severe penalties, including up to 10 years in prison, fines of up to SR10 million ($2.6 million), or both.
The authority reiterated its commitment to food safety and will continue taking action against violators. Consumers can report food safety concerns to the authority’s call center at 19999.
Thai Embassy joins Riyadh greening initiative
RIYADH: The Royal Thai Embassy recently took part in a volunteer initiative at Aba Samri National Park in the Murat governorate of Riyadh region, in collaboration with the National Center for Vegetation Cover Development and Combating Desertification.
Part of the National Greening Season, the activity aims to enhance vegetation, curb land degradation, and plant native and adaptive species, supporting the Saudi Green Initiative, the Saudi Press Agency reported.
The embassy’s involvement promotes vegetation restoration and aligns with the center’s call for broader environmental engagement from all sectors. The scheme improves air quality, reduces dust storms and restores ecosystems, the SPA added.
The National Greening Season, a core element of the broader program, fosters public-private partnerships, volunteerism, and awareness about afforestation and combating desertification.
The center leads efforts to protect and restore vegetation sites across Saudi Arabia, addressing challenges such as wildfires, illegal logging and unregulated grazing to safeguard natural ecosystems.
