Saudi Aramco’s record-breaking IPO grows to $29.4 billion

Saudi Aramco’s record-breaking initial public offering (IPO) has grown to $29.4 billion since the company chose to exercise the so-called greenshoe option to sell an additional 450 million shares on Sunday, the company said in a statement on the Saudi Stock Market (Tadawul).

The energy giant had listed 1.5 percent, or three billion, of the company’s shares on the Tadawul in early December. The company raised $25.6 billion, a record for world’s largest IPO in itself, pricing its shares at 32 riyals ($8.53).

The greenshoe option allows companies to sell additional shares after an IPO has been completed should there be enough demand from investors. The shares have already been allocated during the book building process, the company said in a statement.

“The 450,000,000 shares subject to the over-allotment option had been allocated to investors during the book building process and therefore, no additional shares are being offered into the market today,” Aramco said.

Aramco’s shares closed at 35 riyals ($9.33) last Thursday, valuing the company at $1.87 trillion and continuing its reign as by far the most valuable company in the world.