Saudi Aramco shares up sharply on market debut

epa08046278 A handout photo made available by Saudi Arabian oil company Saudi Aramco on 05 December 2019, showing a part of Saudi Aramco's Ras Tanura facility, Saudi Arabia, 26 November 2019. The Ras Tanura refinery is located in the eastern region of Saudi Arabia. Saudi Aramco that is due to go public at the Tadawul stock exchange in Riyadh, Saudi Arabia, in mid-December, is expected to announce the final price for its initial public offering on 05 December 2019. The IPO could become world's biggest initial public offering ever if it exceeds the 2014 IPO of Alibaba that raised 25 billion USD. EPA-EFE/SAUDI ARAMCO HANDOUT HANDOUT EDITORIAL USE ONLY/NO SALES

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Saudi Arabia listed state oil company Aramco on the stock exchange on Wednesday in what became the world’s biggest-ever initial public offering.

Shares opened at 35.2 riyals (€8.47, $9.39), 10% higher than the IPO price of 32 riyals. The increase was capped by the regulatory limit of 10% per day for the stock.

This values the company at $1.88 trillion, below the $2 trillion valuation that Saudi Crown Prince Mohammed bin Salman had initially hoped for.

Public trading on the domestic stock market Tadawul began after Aramco raised $25.6 billion with the sale of 3 billion shares. It subsequently sold another 450 million shares, boosting the value offering to $29.44 billion.

Via BBC

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