Bankers are discussing to provide up to $70 billion of jumbo financing to help Saudi Arabian Oil Co. fund its potential acquisition of a majority stake in petrochemicals company Saudi Basic Industries Corp., or SABIC, Reuters reported, citing sources familiar with the development.

The state energy company, which is likely to buy 70% stake in SABIC, has not yet requested proposals for external debt financing, which could be loans or bonds. Armaco is likely to acquire all of the 70% stake owned by Saudi Arabia's top sovereign wealth fund, Public Investment Fund, or PIF.

JPMorgan Chase & Co. and Morgan Stanley are working as the financial advisers in connection with the deal, according to the report.