Saudi Aramco said to line up banks to fund Sabic acquisition

A Saudi Arabian Oil Co. (Aramco) logo sits on an electronic display at the company's corporate pavilion during the 22nd World Petroleum Congress in Istanbul, Turkey, on Wednesday, July 12, 2017. Photographer: Kostas Tsironis/Bloomberg Photo by Bloomberg

Saudi Aramco, the world’s largest oil company, is lining up banks to raise money to acquire as much as 70 percent of chemical producer Saudi Basic Industries Corp. in a deal that could value the stake at about $70 billion, according to people familiar with the matter.

Some of Wall Street’s biggest lenders are offering Aramco loans for the potential deal between the kingdom’s state-owned oil and petrochemical giants, the people said, asking not to be identified because discussions are private. Aramco is considering buying 50 percent to 70 percent from the Public Investment Fund, the country’s sovereign wealth fund which controls Sabic, the people said.

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