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Toronto Stock is Trying to Win a Share of Saudi Aramco IPO | ASHARQ AL-AWSAT English Archive 2005 -2017
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Logo of Saudi Aramco REUTERS/Hamad I Mohammed/File Photo

Toronto – Toronto Stock Exchange’s (TSX) continue with its efforts to win a part of the massive Saudi Aramco public listing with the country’s deep experience in natural resources as part of a broader offer to help Saudi Arabia with its shift away from oil dependence.

In pitch documents obtained by Reuters, TSX describes its leading position in oil and gas equity capital raising, and strong trading interest from outside the country.

The Canadian pitch is also broader than just for a part of the Aramco IPO. During several trips to the kingdom, most recent in March. Toronto Exchange’s owner TMX Group Ltd met with senior executives from some of the country’s biggest banks, brokerages and other financial institutions seeking a role in executing the kingdom’s broader Vision 2030 plan.

An informed source, speaking on condition of anonymity, told Reuters they are focused on convincing the Saudis that Canada excels in 10 of the 12 areas they have targeted for development under that plan, including in mining and infrastructure.

Financial lawyers believe that the best chance of winning a part of the biggest IPO ever may lie in its geography and geopolitics. The IPO is expected to raise about $100 billion as early as next year.

“We feel that we have put TMX and Canada’s best foot forward and we continue to promote our strengths in pursuit of business opportunities in the region and around the world,” TMX said in a statement.

TSX may still come late in a race where larger exchanges in London, New York, Tokyo, Hong Kong and Singapore participate, but its case could be enhanced after a US law that allows those affected by the September 11, 2001 attacks to sue the Saudi government is passed.

Documents show that Canada-listed oil and gas companies raised 22 percent of global energy financing over the past five years and is second behind the NYSE’s 44 percent.