Riyadh denies plan to delay Aramco IPO

RIYADH: Saudi Arabia is considering delaying the international portion of the giant initial public offering (IPO) of its state oil company until at least 2019, according to people familiar with the situation, who also say a domestic share sale may still happen next year.

A two-stage Saudi Arabian Co (Aramco) IPO was one of several options being considered, said the people.

Another plan would include listing here next year and privately selling a stake in Aramco to one or several cornerstone investors, said one of them.

However, Aramco on Saturday dismissed reports that it was considering shelving plans for an international listing.

In a Twitter message, the company said all listing venues were under review for the IPO, expected to be the largest in history, and reports that a local listing next year could be combined with a stake sale to a Chinese investor were “entirely speculative”.

“(The) IPO process is on track for 2018,” said the company.

The IPO is the centrepiece of a broad-ranging economic reform programme proposed by Crown Prince Mohammed Salman, the dominant political force in the kingdom.

London and New York ex changes are vying for a role in Aramco IPO, with Hong Kong, Singapore, Tokyo and Toronto also trying to attract the sale.

Financial Times (FT) reported on Friday that Aramco was in favour of a private stake sale to foreign governments, including China, and other investors.

FT’s article was followed by a similar report by the Wall Street Journal.

“A range of options, for the public listing of Aramco, continues to be held under active review,” said a spokesman on Saturday, adding that no decision had been made yet. Agencies