China talks ‘crucial’ for choice of Aramco listing venue: report

Saudi Arabia seeks to proceed with talks with strategic investors such as China, Japan, and South Korea before deciding where to list shares of state-owned Saudi Arabian Oil Co. (Saudi Aramco), Reuters has reported, citing three sources familiar with the matter.

The decision indicates that Aramco's initial public offering (IPO) is becoming an increasingly difficult balancing act for Riyadh.

Saudi officials said the government plans to sell up to 5 percent of Aramco shares on one or more foreign exchanges in addition to Riyadh.

US President Donald Trump urged Riyadh to list Aramco on the New York stock exchange, while British Prime Minister Theresa May called to have the listing in London.

Aramco’s IPO is part of a drive by the Saudi government to reduce the economy’s reliance on oil and transform the kingdom.