Skip to main content

Aramco likely to issue a bond in 2024, CFO says

1 min

Saudi Aramco is likely to issue a bond this year and will prioritise longer tenures of up to 50 years, Chief Financial Officer Ziad Al-Murshed said on Monday.

Saudi Arabia is poised to sell more shares of energy giant Aramco © Mena Today 

Saudi Aramco is likely to issue a bond this year and will prioritise longer tenures of up to 50 years, Chief Financial Officer Ziad Al-Murshed said on Monday.

The planned issuance is part of a strategy to optimise the company's capital structure, Al-Murshed told an audience at the Saudi Capital Markets Forum in Riyadh.

Aramco last tapped global debt markets in 2021, when it raised $6 billion from the sale of a three-tranche sukuk, or Islamic bond.

Asked about reports of a planned follow-on share sale by Aramco, whose biggest shareholder is the Saudi government, Al-Murshed said he could not comment as it was not the company's "decision as to the sale of existing government shares".

Saudi Arabia is poised to sell more shares of energy giant Aramco, three people familiar with the matter told Reuters earlier this month, which could boost the country's funding and its aim to shift the economy away from oil.

The share sale could raise about $20 billion, according to Bloomberg, which first reported the news. Saudi Aramco has not confirmed the figure.

Aramco completed the world’s largest initial public offering in late 2019, raising $25.6 billion and later selling more shares to raise the total to $29.4 billion.

Reporting by Alexander Cornwell and Pesha Magid

Tags

Related

United Arab Emirates

UAE and Costa Rica sign trade deal, UAE president says

The United Arab Emirates and Costa Rica have signed an agreement that will help improve bilateral trade and investment ties, UAE President Sheikh Mohammed bin Zayed Al Nahyan said on Thursday.

Business

IMF sees slow, steady 2024 global growth; China, inflation pose risks

The global economy is set for another year of slow but steady growth, the International Monetary Fund said on Tuesday, with U.S. strength pushing world output through headwinds from lingering high inflation, weak demand in China and Europe, and spillovers from two regional wars.

Subscribe to our newsletter

Mena banner 4

To make this website run properly and to improve your experience, we use cookies. For more detailed information, please check our Cookie Policy.

  • Necessary cookies enable core functionality. The website cannot function properly without these cookies, and can only be disabled by changing your browser preferences.