Log in
E-mail
Password
Show password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON
  1. Homepage
  2. Equities
  3. Saudi Arabia
  4. Saudi Arabian Stock Exchange
  5. Saudi Arabian Oil Company
  6. News
  7. Summary
    2222   SA14TG012N13

SAUDI ARABIAN OIL COMPANY

(2222)
  Report
End-of-day quote. End-of-day quote Saudi Arabian Stock Exchange - 09/16
35.15 SAR   0.00%
05:02pSAUDI ARABIAN OIL : Guyana grants Saudi Aramco unit one-year contract to market crude
RE
09/14DMEA : Saudis in South Sudan supply talks
AQ
09/14MEOG : Kuwait to expand drilling
AQ
SummaryChartsNewsRatingsCalendarCompanyFinancialsConsensusRevisions 
SummaryMost relevantAll NewsAnalyst Reco.Other languagesPress ReleasesOfficial PublicationsSector newsMarketScreener Strategies

Saudi Arabian Oil : MbS says Aramco could reduce state dividend

04/06/2021 | 08:21am EDT

Saudi Arabian Crown PrinceMohammed bin Salman (MbS) announced last week that state oil behemoth Saudi Aramco could reduce its payouts to the government, its majority shareholder.

Following the company’s partial listing on the local Tadawul Stock Exchange in late 2019, the state’s shareholding was reduced to 98.27%, with 3.45bn shares (1.73%) sold during the initial public offering (IPO) and soon after.

MbS’ statement follows the recent launch of the Shareek (Partner) programme which seeks to facilitate SAR5 trillion ($1.33 trillion) worth of investments into the Saudi economy from private sector businesses by 2030 and from Aramco and Saudi Arabian Basic Industries Corp. (SABIC), in which the NOC owns a 69% stake. The programme is expected to bring about the creation of thousands of jobs and increase the private sector’s contribution to GDP by as much as 65%.

MbS added that Aramco and SABIC’s contributions would account for 60% of the total investment.

He noted that the Kingdom’s largest firms have been asked to reduce their dividends to increase capital expenditure. “That will lead to growth of the company so stakeholders will own more money. In exchange, the Saudi government will help them with regulations, more subsidies and other incentives,” he added.

The move could ease Aramco’s $73.5bn annual state dividend requirement, while minority shareholders will be ring-fenced. Speaking to Middle East Oil & Gas (MEOG), Ian Simm, Principal Advisor at consultancy IGM Energy, said: “In effect, Riyadh will sacrifice a portion of its share on the premise that this will be recycled into the Saudi economy through Shareek. Prior to the IPO, prospective investors were promised a $75bn dividend, and while this represents a departure from this, the roughly $1.3bn per year to minority shareholders is sacrosanct.”

In 2019, Aramco promised a minimum $75bn dividend for each of the five years following the IPO. “We promised them that and we will keep that promise,” said the Crown Prince.

Providing rationale behind the programme, MbS said: “We will recycle the money. We shouldn’t keep our shares forever. Whatever mature investment we have, we have to IPO. So for example, if you own 70% of a company, [The Public Investment Fund (PIF)] should maintain majority at 30% and sell 40%.”

Meanwhile, Finance Minister Mohammed al-Jadaan told Reuters that the 24 largest listed companies will invest SAR2 trillion ($530bn) by 2025 and another SAR3 trillion ($800bn) by 2030. He added that the PIF is a shareholder in most of these firms.

©2021 bne IntelliNews , source Magazine

All news about SAUDI ARABIAN OIL COMPANY
05:02pSAUDI ARABIAN OIL : Guyana grants Saudi Aramco unit one-year contract to market ..
RE
09/14DMEA : Saudis in South Sudan supply talks
AQ
09/14MEOG : Kuwait to expand drilling
AQ
09/14McDermott and Saudi Aramco Sign MOU for Feasibility Study of In-Kingdom Onsho..
CI
09/13Energy Stocks Rise as Crude Oil Climbs to Six-Week High, Natural Gas Soars
MT
09/13ABU DHABI NATIONAL OIL FOR DISTRIBUT : ADNOC Drilling IPO price implies equity v..
RE
09/12Sudan expects to reach oil products deal with Saudi Aramco
RE
09/10SAUDI ARABIAN OIL : Aramco and P1 Racing Fuels partner with the FIA World Rally ..
PU
09/09SAUDI ARABIAN OIL : Downstream Technology and Digital Excellence Award 2021
PU
09/09Baosteel in Talks to Build Steel Plate Factory in Saudi Arabia With Aramco; S..
MT
More news
Analyst Recommendations on SAUDI ARABIAN OIL COMPANY
More recommendations
Financials
Sales 2021 1 352 B 361 B 361 B
Net income 2021 367 B 97 938 M 97 938 M
Net Debt 2021 245 B 65 247 M 65 247 M
P/E ratio 2021 19,2x
Yield 2021 4,02%
Capitalization 7 026 B 1 874 B 1 874 B
EV / Sales 2021 5,38x
EV / Sales 2022 4,94x
Nbr of Employees 79 000
Free-Float 1,76%
Chart SAUDI ARABIAN OIL COMPANY
Duration : Period :
Saudi Arabian Oil Company Technical Analysis Chart | 2222 | SA14TG012N13 | MarketScreener
Technical analysis trends SAUDI ARABIAN OIL COMPANY
Short TermMid-TermLong Term
TrendsNeutralBearishNeutral
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus HOLD
Number of Analysts 17
Last Close Price 35,15 SAR
Average target price 35,21 SAR
Spread / Average Target 0,17%
EPS Revisions
Managers and Directors
Amin bin Hasan Al-Nasser President, CEO & Executive Director
Khalid Hashim Al-Dabbagh Director, SVP-Finance, Strategy & Development
Yasir bin Othman Al-Rumayyan Chairman
Ahmad Abdul Rahman Al-Sa'adi Senior Vice President-Technical Services
Ziad Thamer Al-Murshed Vice President-International Operations
Sector and Competitors
1st jan.Capi. (M$)
SAUDI ARABIAN OIL COMPANY0.43%1 873 169
PETROCHINA COMPANY LIMITED58.33%161 004
ROYAL DUTCH SHELL PLC19.32%158 684
TOTALENERGIES SE9.60%120 718
PUBLIC JOINT STOCK COMPANY GAZPROM59.58%111 784
EQUINOR ASA44.15%79 156