Here is an unseemly question: “What if no one wants to buy Saudi Aramco stock?” Riyadh’s high-stakes restructuring strategy is largely dependent on a successful IPO for the oil giant. Yet the rigorously-crafted master plan could be derailed by dour investors. Index managers will have to buy the stock; active managers may be content with proven positions in BP, among other oil giants. A convincing argument would be access to a dividend stream, but net income will presumably get plowed disproportionately into domestic requirements. Even regional names could be wary. There is plenty of oil-sector exposure in the neighborhood. The road ahead is not the Autobahn.

Learn more at the Independent.

© 2016 Cranganore Inc. All rights reserved.
Unauthorized use and/or duplication of any material on this site without written permission is prohibited.

Image Credit: Anekoho at Can Stock Photo Inc.