However, Aramco, the world's most profitable company, did not provide many specific details in its highly anticipated announcement, such as the number of shares to be sold, pricing, or the launch date. Bankers have estimated that investors may value the company at around $1.5 trillion, rather than the $2 trillion valuation previously suggested by Crown Prince Mohammed bin Salman. The company also did not address any security measures taken following the attacks on its oil plants in September. According to sources, Aramco could potentially offer 1%-2% of its shares on the local stock exchange, raising up to $20 billion-$40 billion. A deal surpassing $25 billion would exceed the record set by Chinese e-commerce giant Alibaba in 2014. During a news conference at Aramco's headquarters in Dhahran, Chairman Yasir al-Rumayyan stated that today presents a great opportunity for new investors to benefit from Aramco's value and long-term growth potential. The company will spend the next 10 days gauging investor interest before determining the price range for the IPO. The IPO aims to support Prince Mohammed's economic reform agenda by raising funds to develop non-energy industries and diversify revenue streams. Rumayyan mentioned that a decision on an international listing for Aramco shares will be made in the future, with no specific timeline or location provided. Gary Ross, CEO of Black Gold Investors, noted that a partial sale of Aramco in a controlled market allows Saudi Arabia to maintain more control over the company's value. Confirmation of the sale of shares in Saudi Arabian Oil Co, also known as the oil giant, comes approximately seven weeks after the damaging attacks on its oil facilities. This highlights Saudi Arabia's determination to proceed with the listing despite the attacks. Amin H Nasser, the president and CEO of Saudi Aramco, made these statements during a news conference at the Plaza Conference Center in Dhahran, Saudi Arabia on November 3, 2019. Aramco has stated that it does not anticipate the September 14 attack, which initially cut its production in half, to have a significant impact on its business, operations, and financial condition. According to Aramco, the company was responsible for approximately one in every eight barrels of crude oil produced globally from 2016 to 2018. In the third quarter of 2019, Reuters calculations show that its net income was $21.1 billion, which was significantly higher than the income of oil giants like Exxon Mobil Corp, which was just over $3 billion. Rumayyan mentioned that the valuation will be determined after the investor roadshow. CEO Amin Nasser announced during the news conference that Aramco plans to release the prospectus on Nov. 9. Saudi Arabia is relying on easy credit for retail investors and substantial contributions from wealthy locals to help finalize the deal. Rory Fyfe, managing director at Mena Advisors, believes that despite strong pressure on domestic investors to participate, international investors will still undervalue the company compared to Crown Prince Mohammed bin Salman's expectations. Attracting investors has caused the Saudi stock market to decline by 2% following the Aramco announcement. The benchmark index has dropped by almost 20% since May as local institutions have been selling shares to prepare for the Aramco deal, according to fund managers and analysts. Salah Shamma, head of investment, MENA, at Franklin Templeton Emerging Markets Equity, suggested that some local investors may be selling off other shares to shift investments to Aramco, with the belief that there may be short-term losses but long-term gains. In an effort to reassure investors, Aramco announced on Sunday that the state will waive its right to a portion of cash dividends on shares, giving priority to new shareholders. Additionally, Aramco is reducing the royalties it pays to the state. Starting January 1, 2020, a new royalty scheme will be implemented by the company, with rates increasing progressively based on the price of oil. The Saudi market regulator has approved the application for listing, and non-resident institutional foreign investors are exempt from certain subscription rules. Saudi investors may receive bonus shares, with a maximum of 100 bonus shares for every 10 allocated shares. Even at a valuation of $1.5 trillion, Aramco would still be significantly more valuable than Microsoft and Apple, the world's top listed companies. Despite this, a 1% sale would only raise around $15 billion for Saudi Arabia, making it the 11th largest IPO in history according to Refinitiv data. Hasnain Malik, head of equity strategy at Tellimer, believes there is a need for perspective on the Aramco IPO in the context of Saudi Arabia's overall diversification story. He points out that the proceeds from the Aramco IPO are likely to be less than the dividends the government received from Aramco in the first half of 2019. The listing of Aramco has been highly anticipated since it was first mentioned by Prince Mohammed in 2016, with 27 banks, including Citigroup, Goldman Sachs, HSBC, JPMorgan, and Morgan Stanley, working on the deal. Despite initial hopes for a blockbuster international listing of about 5%, the share sale was halted last year due to debate over where to list Aramco overseas. Rumayyan, chairman of Aramco, believes that now is the right time for the company to go public. Aramco announced that the IPO schedule was pushed back due to its acquisition of a 70% stake in Saudi Basic Industries Corp. The IPO preparations were restarted this summer following a successful international bond sale, aimed at building relationships with potential investors. However, the planned listing announcement on October 20 was postponed as advisers needed more time to secure cornerstone investors. The oil and gas sector is facing challenges from the growing movement against climate change and the shift towards green technologies, leading some fund managers in Europe and the US to steer clear of these industries. Aramco's previously secretive finances were revealed in April during a bond sale, showing a net income of $111 billion, surpassing the combined net income of the top five oil majors. In response to pressure from climate activists, these companies have increased payouts to shareholders. Aramco announced its plans to distribute total regular cash dividends of at least $75 billion in 2020. With a valuation of $1.5 trillion, this would result in a dividend yield of 5%, which is lower than the dividend yield of over 6% offered by competitor Royal Dutch Shell, as per Refinitiv data.