Energy
Aramco Shares Slide on Output Curbs, Secondary Offering
- Investors sell Saudi shares ahead of potential new offerings
- Oil giant’s premium to international peers seen as justified
Aramco’s decline comes as the Saudi stock index has been falling more broadly.
Photographer: Simon Dawson/BloombergThis article is for subscribers only.
Shares of Saudi Aramco slid to the lowest level in more than a year amid speculation OPEC+ will maintain output cuts and as investors await clarity about a planned secondary offering.
The oil giant is eying a secondary share sale that would raise at least $10 billion, Bloomberg reported in February, and the deal is expected soon. Meanwhile, Saudi Arabia and its partners gather on June 2 to review output policy that’s likely to keep the kingdom’s production near the lowest level in three years.