Aramco says no impact on business due to 8% stake transfer to PIF portfolios

Logo of Saudi Arabian Oil Co. (Saudi Aramco)

Saudi Arabian Oil Co. (Saudi Aramco) said the state remains the majority shareholder in the oil giant with 82.186% ownership following the transfer of 8% of the former's issued shares to wholly-owned portfolios by the Public Investment Fund (PIF).

This is a private transfer where Aramco is not a party to the deal and did not enter into any agreements nor pay or receive any proceeds from this move, according to a statement to Tadawul today, March 7.

The transfer will not affect Aramco’s total number of issued shares. The transferred shares will rank equally alongside other existing ordinary shares in the company.

The move does not impact on Aramco’s operations, strategy, dividends distribution policy or governance framework, the statement added.

According to data compiled by Argaam, Crown Prince Mohammed bin Salman earlier announced transferring 8% of Saudi Aramco’s issued shares to wholly owned portfolios by PIF.