Saudi Aramco have hired four banks as advisers for its first bond sale ahead of planned initial public offering in 2018
According to Bloomberg, Saudi Aramco has picked HSBC Holdings' local unit HSBC Saudi Arabia, as well as Riyad Capital, to advise it on the sale of Islamic bonds, the so-called Sukuk, by 1 July.
NCB Capital and Alinma Investment are also said to be working on the Sukuk sale, which is part of Saudi Aramco’s plans to generate US$10bn in bond sale proceeds in 2017, according to a Bloomberg source.
Aramco’s bond sale would follow the Saudi Arabian government’s $17.5 billion bond sale in October 2016, which became the largest-ever emerging-market bond sale and attracted orders from investors.
While Saudi Arabia plans to sell just 5 per cent of Aramco’s shares, its IPO is expected at around US$100bn, the world’s largest ever.