Aramco converted to joint-stock company

DUBAI, January 5, 2018 – Saudi Arabia has converted crown jewel Saudi Aramco into a joint-stock company ahead of a planned IPO this year, international media reported on Friday.

The public offering of 5% in Aramco, anticipated in the second half of the year, is forecast to raise some USD 100 million and to be the largest IPO in the world to date.

“As a customary step in the preparation process for a Saudi IPO, Saudi Aramco has converted to a joint stock company,” an unnamed senior Aramco official told Reuters.

“This establishes the framework to allow future investors to hold shares in the company alongside its shareholder, the government.”

The Saudi government will keep key levers of control over Aramco including the right to appoint and dismiss the oil giant’s chairman, the reports added.

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