Saudi Arabia plans to list 1% of the state-owned Saudi Arabian Oil Co. on the Riyadh Stock Exchange before the end of the year, according to a report from Reuters, citing unnamed sources.
The kingdom will list another 1% on the exchange in 2020 as part of its plan to sell around 5% of the oil giant, Reuters said.
If Aramco achieves the $2 trillion valuation it is aiming for, a 1% float would be worth $20 billion.
Sources also told Reuters that Aramco will release the mandates for banks that will manage the deal in the coming days.
Morgan Stanley and Saudi Arabia's National Commercial Bank are expected to serve lead roles, while Citigroup Inc., Goldman Sachs Group Inc., HSBC Holdings PLC and Samba Financial Group will likely be included in the banks managing the transaction, Reuters reported.
JPMorgan Chase & Co. is close to being tapped as lead adviser for the initial public offering, but the decision could still change, CNBC reported Sept. 8.
The company will also have an international offering in 2020 or 2021, with London and Tokyo reported as potential exchanges for the listing.
