Leaders descend on Beijing for Bloomberg problem-solving forum

Thought leaders from the business world and the global political scene are descending on the Chinese capital Beijing for the New Economy Forum. (Shutterstock)
Updated 21 November 2019

Leaders descend on Beijing for Bloomberg problem-solving forum

  • The two-day event aims to encourage solutions from the private sector to some of the big challenges the global economy faces today
  • Some 500 senior leaders will attend the gathering, of which about 200 will come from Chinese institutions

Thought leaders from the business world and the global political scene are descending on the Chinese capital Beijing for the New Economy Forum (NEF) run by the information and media giant Bloomberg.

The two-day event aims to encourage solutions from the private sector to some of the big challenges the global economy faces today — trade, climate change, technology and financial volatility. It will also prioritize issues of inclusion, urbanization and governance.

Justin Smith, chief executive officer of Bloomberg Media, told Arab News — which is a media partner for the event — that some 500 delegates would attend the forum, with about 200 coming from institutions within China.

“The reason we’re bringing people together is to produce a platform for discussion between people who represent the new global economy. There is a whole new class of people from Asia, the Middle East, Africa and Latin America who are not represented well in the ‘legacy gatherings’ that take place, which are typically more American and European oriented.

“The idea is to enable people at a principle level — chief executives, ministers, leaders — to have substantive conversations to find solutions to global problems and help mitigate the big issues the world faces. This is not just a talking shop,” he said.

Some 500 senior leaders will attend the gathering, of which about 200 will come from Chinese institutions. “There will be a big Chinese involvement, but this is because of how important China is in the global economy. This really is a one-of-a-kind gathering,” Smith said.

The opening keynote will be delivered by a senior member of the leadership of the Peoples Republic, whose identity has not been officially disclosed amid tight security at the conference venue outside Beijing city center.

While the issue of trade wars between China and the US will be a big issue at the gathering, Smith said that it was not the most important one. “This is not a US-China gathering — it is a global gathering located in Beijing,” he said.

Americans attending the event include former secretary of state Henry Kissinger, as well as Hank Paulson, who was Treasury secretary during the global financial crisis, and Janet Yellen, former chair of the US Federal Reserve.

There is a significant delegation from the Middle East, including Saudi business leader Lubna Olayan, as well as executives and policy-makers from other Arabian Gulf countries.

“The Middle East’s role in the new economy is critical. It has increasingly deep ties with China, but also has strong links with Europe and the West. They are in between western capitalism and state capitalism,” Smith said.


Saudi Aramco shares soar at maximum 10% on market debut

Updated 11 December 2019

Saudi Aramco shares soar at maximum 10% on market debut

  • Company is now world’s largest publicly traded company, bigger than Apple

RIYADH: Saudi Aramco shares opened at 35.2 riyals ($9.39) on Wednesday at the Kingdom’s stock exchange, 10 percent above their IPO price of 32 riyals, in their first day of trading following a record $26.5 billion initial public offering.
Aramco has earlier priced its IPO at 32 riyals ($8.53) per share, the high end of the target range, surpassing the $25 billion raised by Chinese retail giant Alibaba in its 2014 Wall Street debut.
Aramco’s earlier indicative debut price was seen at 35.2 riyals, 10 per cent above IPO price, raising the company’s valuation to $1.88 trillion, Refintiv data showed.
At that price, Aramco is world’s most valuable listed company. That’s more than the top five oil companies – Exxon Mobil, Total, Royal Dutch Shell, Chevron and BP – combined.
“Today Aramco will become the largest listed company in the world and (Tadawul) among the top ten global financial markets,” Sarah Al-Suhaimi, chairwoman of the Saudi Arabian stock exchange, said during a ceremony marking the oil giant’s first day of trading.
“Aramco today is the largest integrated oil and gas company in the world. Before Saudi Arabia was the only shareholder of the company, now there are 5 million shareholders including citizens, residents and investors,” said Yasir Al-Rumayyan, the managing director and chief executive of the Saudi Public Investment Fund.
“Aramco’s IPO will enhance the company’s governance and strengthen its standards.”
Amin Nasser, the president and CEO of Saudi Aramco, meanwhile thanked the new shareholders for their confidence and trust of the oil company.
The sale of 1.5 percent of the firm, or three billion shares, is the bedrock of Crown Prince Mohammed bin Salman’s ambitious strategy to overhaul the oil-reliant economy.
Riyadh’s Tadawul stock exchange earlier said it will hold an opening auction for Aramco shares for an hour from 9:30 a.m. followed by continuous trading, with price changes limited to plus or minus 10 percent.

The company said Friday it could exercise a “greenshoe” option, selling additional shares to bring the total raised up to $29.4 billion.
The market launch puts the oil behemoth’s value at $1.7 trillion, far ahead of other firms in the trillion-dollar club, including Apple and Microsoft.
Two-thirds of the shares were offered to institutional investors. Saudi government bodies accounted for 13.2 percent of the institutional tranche, investing around $2.3 billion, according to lead IPO manager Samba Capital.
The IPO is a crucial part of Prince Mohammed’s plan to wean the economy away from oil by pumping funds into megaprojects and non-energy industries such as tourism and entertainment.
Watch the video marking Aramco’s opening trading: