Aramco IPO range values Saudi oil giant at up to $1.7 trillion

It's the world's most profitable company- and it could be the world's biggest IPO.

Saudi Aramco was valued at $1.7 trillion on Sunday (November 17), based on the IPO price range set by the oil giant.

That's below the $2 trillion touted by Crown Prince Mohammed bin Salman.

Aramco said it plans to sell 1.5% of the company, or about three billion shares, at an indicative price range of 30 to 32 riyals, valuing the IPO at as much as 96 billion riyals -

or $25.6 billion.

Alinma Bank Chief Executive Abdulmohsen Al Fares.

(SOUNDBITE) (English) ALINMA BANK CHIEF EXECUTIVE, ABDULMOHSEN AL FARES, SAYING:

"We are very optimistic because this morning just announced the range of prices which is between 30 and 32 riyals. We are very optimistic there will be a lot of participation."

This could edge out Chinese e-commerce giant Alibaba's record $25 billion New York stock market debut in 2014.

However Aramco cannot sell the shares directly to investors in the United States and other markets, as the deal will now be restricted to Saudis and foreign institutions,

The government has pushed rich Saudis to invest, with many viewing it as an opportunity to show their patriotism after a September attack on Aramco facilities that struck at the heart of the kingdom's energy industry.

Washington and Riyadh blamed regional rival Iran for the attacks, which temporarily cut more than 5% of global oil supply. Tehran has denied any involvement.