Saudi economy reels from low oil prices, Aramco IPO valuation in question

Wall Street Journal, September 3: 

Subdued oil prices are punishing Saudi Arabia’s economy, threatening the kingdom’s foreign-investment push and curbing potential investor appetite for an Aramco IPO.

Saudi officials have pulled back oil production to less than 10 million barrels per day in an attempt to push crude prices to $80 a barrel. But global trade tensions and burgeoning U.S. production have offset their actions, keeping prices closer to $60 barrel.

[...]

AFP via Times of Israel, September 8:

Saudi Arabia replaces energy czar with prince as oil prices slump

King’s son Abdulaziz bin Salman named energy minister after Khalid al-Falih was sacked amid uncertainty surrounding Aramco IPO.

[...]

The shakeup comes as Aramco steps up efforts to float around five percent of the company, in what could potentially be the world’s biggest stock sale.
It aims to raise up to $100 billion based on a $2 trillion valuation of the company, but amid low oil prices investors have debated whether Aramco is really worth that much.

Failure to reach a $2 trillion valuation as desired by Saudi rulers is widely considered the reason the IPO, earlier scheduled for 2018, has been delayed.

********