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Aramco to Acquire $69 Billion Sabic Stake in Record Mideast Deal

  • Deal will help finance economic agenda of Saudi crown prince
  • Transaction is for PIF’s 70% stake in the petrochemicals firm
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Bloomberg’s Matthew Martin reports on the Middle East’s biggest ever deal.(Source: Bloomberg)
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Saudi Aramco, the world’s biggest oil producer, will buy a majority stake in local chemical giant Sabic from the kingdom’s sovereign wealth fund for $69.1 billion, transferring a big slug of cash from one arm of the state to another to help finance Crown Prince Mohammed bin Salman’s economic agenda.

The Middle East’s biggest ever deal had been first mooted last year after the initial public offering of Aramco was postponed because investors balked at the crown prince’s $2 trillion valuation. Aramco’s purchase of the Sabic stake gets funds to the PIF by a different route.