Deal makers soon fanned out over Asia, Europe and North America to gauge interest in Aramco by Fidelity Investments, Capital Group, BlackRock and other major investors. To make Aramco more attractive, the banks persuaded it to establish an enormous investor dividend, or annual payout — $75 billion a year. “We felt that a valuation in the range of $1.2 to $1.3 trillion would represent fair value,” or a reasonable price, “but it would need to I.P.O. But given the wide gap between views like Mr. Lomnitzer’s and the Saudi government’s $2 trillion expectations, some of the bankers were concerned. The banks, who had been sizing up investor demand for the I.P.O., delivered their findings to Amin H. Nasser, Aramco’s chief executive.

Source: New York Times December 06, 2019 18:59 UTC