Saudi Aramco is looking to raise at least $17 billion from the sale of a significant minority stake in its gas pipelines, higher than the $12.4 billion raised from its oil pipeline deal, Reuters reported on Monday quoting unnamed sources.
Potential bidders including North American private equity and infrastructure funds, as well as state-backed funds in China and South Korea have been approached by Aramco through its advisers before a formal sale process kicks off in the next few weeks.
The deal size may include $3.5 billion of equity and the remainder will be funded by bank debt, one of the anonymous sources said, while another source said the transaction size could top $20 billion.
“The gas deal is about the long-term view of gas utilization and consumption in Saudi Arabia,” said one source familiar with the deal, explaining why the gas deal may generate higher proceeds.
“The gas deal is about the long-term view of gas utilization and consumption in Saudi Arabia,” said one source familiar with the deal, explaining why the gas deal may generate higher proceeds.
