StanChart and BNP Paribas said to be among co-managers for Aramco bond

DUBAI: Standard Chartered Plc (StanChart) and BNP Paribas SA are among about a dozen banks likely to be added as co-managers for Saudi Arabian Oil Co’s (Aramco) landmark international bond sale, said people with knowledge of the matter.

Two Japanese lenders — Mitsubishi UFJ Financial Group Inc, Mizuho Financial Group Inc — as well as Samba Financial Group and Gulf International Bank BSC are among those being appointed, according to the people. The banks have yet to be formally notified, they said.

Aramco declined to comment. It picked JPMorgan Chase & Co and Morgan Stanley to manage the sale, its first-ever international dollar bond offering, to fund the acquisition of petrochemical giant Saudi Basic Industries Corp (Sabic), said people with knowledge of the matter.

The world’s largest oil producer could raise about US$10 billion (RM40.9 billion) to help fund the Sabic deal, Saudi Energy Minister Khalid Al-Falih said last month.

Aramco is in talks to buy 70 per cent of Sabic from the Public Investment Fund, the country’s sovereign wealth fund, for about US$70 billion. A bond issue could raise between US$10 billion and US$15 billion, fund managers and analysts said last Thursday.