Saudi Aramco expected to outperform Apple's value after IPO

The world's most valuable company post is close to changing hands. Oil company Saudi Aramco may become more valuable than technology giant Apple after its ipo. The world's most lucrative company has confirmed that it is about to list its shares for the first time, ending a thriller that has dragged on since 2016. If the best forecasts are confirmed, this may be the largest initial stock offer (IPO) in history, surpassing the ipo of Chinese Alibaba in 2014, which moved $25 billion. To date, Aramco has not provided many details on how many shares it intends to offer, the paper price or the stock market release date. This makes it more difficult to estimate the figures that the company can raise. According to Reuters, the oil company could offer between 1% and 2 percent of its shares, with a potential to raise between $20 billion and $40 billion. Estimates of how much the oil giant could be worth after the IPO ranges by up to $800 billion among the big banks. According to Bloomberg, this gap is equivalent to the sum of the market values of three competitors in the sector, The United States Chevron and Exxon Mobil and anglo-Dutch Shell. One example is the assessment of Bank of America (Bofa), which estimated that the oil company belonging to the Saudi government could be worth between $1.2 trillion and $2.27 trillion after the ipo. The company chose to list its shares on Tadawal, a stock exchange that operates in the Saudi capital Riad. For the country's crown prince Mohammed bin Salman, Aramco has the potential to be valued at up to $2 trillion – which would immediately make it the world's most valuable company, surpassing the top-ranked apple and microsoft market cap. Both have been alternating at the most valuable post, estimated at around $1.1 billion. Top of the most profitable companies Responsible for more than 10% of all daily oil production worldwide, Saudi Aramco revealed a profit of $111 billion in 2018, at the top of the list of the world's most profitable companies, including Exxon Mobil, which is now the largest oil company with capit al open of the world. In 2019, the Saudi company has not been disappointing: between January and September, it has already made $68 billion. The company produces 10 million barrels of oil per day, five times more than Petrobras. The Brazilian state-owned company is worth just over $100 billion on the stock exchange. EXAME visited the company's facilities in Riyadh. Saudi Aramco's IPO comes at a time when the Saudi government is trying to diversify its economy outside the oil sector. At a press conference, Aramco President Yasir al-Rumayyan said this is the "right opportunity for new investors to reap the benefits of the company's ability to add value and boost it in the long run." But there are still doubts about how the company will strengthen security after suffering drone strikes against its facilities in September, prompting oil prices to rise and raised tensions in markets in the face of fears of cutting production.