Saudi Aramco’s IPO: place your bets!

Nearly four years after opening-up on its determination and will to go public , the Saudi oil giant Saudi Aramco is close r than ever to materialize it s wish as its much-awaited initial public offering (IPO) is finally scheduled to kick off on Sunday November 17 on the domestic Tadawul Stock Exchange . Face to the current bleak global and domestic economic environment, persistent geopolitical tensions in the Middle East and a low crude oil price environment, the choice of the Saudi oil state company to go public following the September 14 drone attacks on its major oil sites of Abqaiq and Khuaris that resulted in the temporary shutdown of nearly half of the Kingdom crude oil production of ~ 9. 5 mbpd is quite a strong-minded and daring stake , to say the least . A few days away from the big da y many questions and uncertainties do persist about the company valuation, the modalities of the operation and the risks related to the Kingdom’s Tadawul S tock E xchange technical capacity and liquidity to deal with such a colossal operation . But more importantly, multiple questions arise concerning the underlying true reasons that drive this decision in a timing that does n ot seem to be an ideal one for the Saudi Kingdom to fulfil its promises and market expectations.