Aramco raises $11.2 billion in a new public offering

Saudi oil giant Aramco has raised $11.2 billion by pricing its second public offering at 27.25 rials per share.

Share:

Aramco lève 11,2 milliards de dollars avec une nouvelle offre publique.

Saudi Arabian oil giant Aramco announced on Friday the price of its second public offering, raising $11.2 billion. Set at 27.25 rials ($7.27) per share, this price is at the lower end of the initial range of 26.70 to 29 rials ($7 to $7.70) announced by the company. This strategic operation follows the sale of 1.545 billion shares, or around 0.64% of the company’s total shares. This initiative reflects Crown Prince Mohammed bin Salmane’s economic vision, aimed at diversifying the Saudi economy and financing the Vision 2030 reform program. Around 10% of the shares were offered to retail investors, with the remainder going to institutional investors. According to the company’s press release, the retail offer has been fully subscribed, with a total of 1,331,915 subscribers.

Impact on value creation and economic prospects

Listing of this new tranche of shares will begin on Sunday. Aramco shares closed Thursday’s trading session at 28.30 rials ($7.50), valuing the company at around $1,830 billion. This valuation exceeds $1,760 billion at the new offer price, illustrating strong investor demand despite an uncertain global economic context. Since its historic IPO in December 2019, when 1.5% ofAramco ‘s shares were sold to raise $25.6 billion, the company remains a central player in the Saudi economy. This new public offering strengthens the kingdom’s ability to finance its ambitious projects and attract foreign investment.

Challenges and future strategies

Saudi Arabia, the world’s leading oil producer, continues to face major challenges in attracting the investment needed to reduce its economy’s dependence on hydrocarbons. The success of this new public offering represents an important step towards this goal, but also underlines the constant efforts required to maintain the country’s economic attractiveness. The strategy of economic diversification is crucial to Saudi Arabia’s future. The Vision 2030 initiative aims to transform the kingdom’s economic landscape by investing in non-oil sectors and developing modern infrastructure. The financing of these projects depends to a large extent on the ability to attract substantial investment, both domestic and foreign. Aramco’s new fundraising is a positive indicator of investor confidence in the stability and growth prospects of the Saudi market. However, the kingdom will need to continue to improve its business environment and offer attractive incentives to maintain this momentum. All in all, Aramco’s successful public offering marks a significant step forward in Saudi Arabia’s efforts to strengthen its economy and diversify its sources of revenue. The challenges remain many, but with strategic initiatives and bold reforms, the kingdom could well achieve its ambitious goals by 2030.

The European Commission opens an in-depth investigation into Adnoc’s purchase of German chemical group Covestro, questioning the potential impact of foreign subsidies and competition within the European internal market.
Stonepeak announces the creation of JouleTerra, a platform dedicated to the aggregation and management of grid-connected land, aimed at supporting the deployment of renewable energy infrastructure throughout the European continent.
Baker Hughes is set to acquire Chart Industries for $13.6bn, surpassing Flowserve’s offer and ending the previously announced merger between Chart and Flowserve, according to sources close to the matter.
Spanish energy group Endesa reports strong first-half profit growth but warns of insufficient incentives in the new grid remuneration framework proposed by the CNMC.
The French group posted higher sales and profitability while setting a new record for its investment backlog, driven by the electronics and energy transition sectors.
Bureau Veritas completes acquisitions in cybersecurity in Denmark, nuclear in Germany, and transition services in South Korea, further strengthening its coverage of strategic high-growth markets.
Macquarie finalises the acquisition of Erova Energy, further strengthening its capabilities in the management and optimisation of renewable assets in the United Kingdom and Ireland amid rapid sector growth.
An agreement between Iberdrola and Echelon provides for the creation of a joint venture dedicated to the development of data centres in Spain, including an initial 144 MW site in Madrid, strengthening integration between energy and digital infrastructure.
TenneT strengthened its investments in electricity infrastructure in the Netherlands and Germany, reaching EUR 5.5 bn over six months, while a decision on the financing structure of its German subsidiary is expected in September 2025.
Eni is considering increasing its share buyback programme after financial results exceeded expectations, with reduced debt and revised annual targets in the gas segment.
Despite a sharp decline in sales and prices, Vallourec improved its profitability and issued an upward forecast for its gross operating income in the second half of 2025.
Eni announces a sharp decline in quarterly net profit, the result of lower oil prices and a weaker dollar, while maintaining a strengthened dividend policy and a development trajectory in renewables.
EDF is reassessing its industrial priorities and streamlining investments, as net profit falls to €5.47bn ($5.94bn) in the first half of 2025 due to a weakening electricity market.
Energy group Edison posts increased sales and investments despite a less favourable market environment, advancing its renewables development and strengthening its positions in Italy.
SEGULA Technologies opens an office in Cape Town, strengthening its presence in the African market and targeting expansion in energy, rail, and automotive sectors, in partnership with South African industrial firm AllWeld.
GE Vernova's revenue rose by 11% in the second quarter, driven by momentum in its Power activities, as the US group raised its financial targets for 2025.
The Allrig group is expanding its operations in Saudi Arabia, supported by AstroLabs, to boost energy efficiency and address the growing needs of the local oil sector.
Saipem and Subsea7 formalise their merger agreement, resulting in the creation of Saipem7, an international energy services player with consolidated revenue of €21bn and an order backlog of €43bn.
TotalEnergies reports a significant decrease in net profit and revenue for the second quarter, while relying on growth in its hydrocarbon and electricity production to sustain profitability and global ambitions.
Exus Renewables North America finalizes $308.2 million financing for two major solar portfolios in New Mexico and wind projects in Pennsylvania, showcasing the expansion of large-scale renewable assets across multiple U.S. markets.