Saudi Aramco is thinking about selling $50 billion worth of shares.

After consulting with advisors, Saudi Aramco is considering selling a stake worth up to $50 billion through a secondary share offering on the Riyadh stock exchange, the Wall Street Journal reported on Friday.
According to the article, the sale might occur by the end of the year, and Aramco has been “sounding out” possible investors, including major international oil corporations and sovereign-wealth funds, about taking part in the transaction.
According to the report, which cited Saudi officials and other persons aware with the strategy, the Kingdom has opted to host any new Aramco sale on the Riyadh exchange in order to avoid the legal dangers connected with an international listing.
In response to a request for comment on Friday, Saudi Aramco rejected.
The largest oil firm in the world, Saudi Aramco, with a market value of $2.25 trillion. Its stock price has increased 19.6% this year.
In late 2019, the firm executed the largest IPO in history, raising $25.6 billion. Later, additional shares were sold, bringing the total to $29.4 billion.
Additionally, the Journal reported that Saudi Arabia had planned to sell Aramco shares worth up to $50 billion last year but determined the market conditions were not good.
Saudi Arabia’s de facto ruler and Crown Prince Mohammed bin Salman said in January 2021 that Saudi Aramco would sell additional shares, with the proceeds going towards strengthening the nation’s primary sovereign wealth fund.
Prince Mohammed indicated at the kingdom’s Future Investment Initiative conference that there would be Aramco share offerings in the future and that the money raised would be passed to the Public Investment Fund.
The Public Investment Fund, which occasionally receives financial assistance from the government, invested 120 billion riyals ($32 billion) domestically in new industries last year in an effort to carry out an ambitious economic plan to wean the country from oil.
Approximately $700 billion worth of assets are managed by the fund, which had a total comprehensive loss of 58.545 trillion riyals ($15.61 billion) in 2017.