CCTV Script 23/08/18

— This is the script of CNBC's news report for China's CCTV on August 23, 2018, Thursday.

Reuters, CNBC and other news outlets cited information overnight, saying Saudi Aramco may cancel IPO, and Saudi has dismissed IPO consultant team. A source said Saudi will divert their attention to acquire local petrochemical manufacturers SABIC. However, at around 9:20 this morning Beijing time, Saudi declined they will stop Saudi Aramco from going IPO that means this giant is still possible to push its listing process.

Saudi Aramco's IPO process was perceived as the most noteworthy financial event in 2018 and international investors hope to benefit from Saudi's petroleum industry. Before that, Saudi evaluated this petroleum heavyweight as $2 trillion and planned to sale 2% stock stakes to gain a hundred billion dollars. In fact, the listing date of Saudi Aramco has been postponed for many times, causing the market speculates its listing possibility.

There are analysis think why Saudi Aramco has not announced a specific listing plan is because Saudi does not want its company under over-supervision of market, and they need more time to do listing preparation. Meanwhile, Saudi leaders don't think listing is the only one approach to raise capital amid the buoyed petroleum price in this year. Some data shows Saudi has raised billions of dollars by selling Treasury bond to foreign investors. The Saudi stock market was embraced in MSCI emerging market index recently, that may fuel Saudi with investment of billions of dollars. Additionally, the other reasons including a change a strategy. A source confirmed it with CNBC that Saudi will divert their attention to acquire local petrochemical manufacturers SABIC, and this deal will flood Saudi public investment fund with hundreds of dollars.

After this "market misunderstanding", investors will closely watch the IPO process of Saudi Aramco.