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SWFI: Aramco Going Public Brings Back 106 Billion Dollars In Return - ASHARQ AL-AWSAT English Archive
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Khobar- According to approximations issued by the Sovereign Wealth Fund Institution (SWFI), the Saudi Public Investment Fund (PIF) is to receive an approximate 106 billion dollars (398 billion Saudi Arabian Riyals) in return for selling a 5-percent-worth of Saudi Aramco stocks. The return on the sale was previously indicated by the Deputy Crown Prince Mohammed bin Salman bin Abdulaziz’s plan which he discussed with the international economy news agency Bloomberg earlier this month.

The Deputy Crown Prince had already built his estimates on 10 dollars per oil barrel price rates, and had added that Aramco going public will attract investors who employ their funds based on the long term prospect, like the Canadian pension plan and Asian sovereign wealth funds.

According to a report published by CNBC, the new Saudi sovereign wealth fund will enjoy a 10 percent of the purchase market force of the total of world sovereign wealth funds.

According to the estimates of the SWFI, PIF controls local and international market value of approximately 87 billion dollars. Among those institutions and companies under PIF’s control are the Saudi SABIC (Chemical manufacturing company) and the National Commercial Bank.

Last June, PIF also took control of 38 percent of the Korean POSCO (multinational steel-making company), in a deal settled at a 1.1 billion dollars. PIF recently signed down an agreement of partnership with a direct Russian investment fund, the deal is said to have been made for an approximate 10 billion dollars in Russia.