Photo: Rainer Jensen/picture alliance via Getty Images

Saudi Arabia has abandoned its stalled plan for going public with a portion of state oil giant Aramco, Reuters reports, citing "four senior industry sources."

A source familiar with the company's work with outside advisers and banks tells Axios: "It has been officially dead for a month or so — everyone got sent home for Ramadan and of course Eid just broke, but no one was invited back."

Why it matters: The kingdom had hoped to raise tens of billions of dollars through the IPO to help fund initiatives to diversify its oil-dependent economy away from crude oil sales.

But the plan to sell about 5% of the company has been beset with delays and indecision about an international listing venue, while multiple analysts believe the company would not achieve the kingdom's hoped-for $2 trillion valuation.

An Aramco representative did not immediately respond to an inquiry from Axios.

What they're saying: per Reuters, "The financial advisors working on the proposed listing have been disbanded, as Saudi Arabia shifts its attention to a proposed acquisition of a 'strategic stake' in local petrochemicals maker Saudi Basic Industries Corp 2010."

Yes, but: Even without the IPO, Saudi officials are making moves to diversify their economy, such as investments by their sovereign wealth fund in companies including Uber and the SoftBank Group.

Go deeper: What Saudi Arabia's interest in Tesla says about its long-term plans

This story has been updated to reflect information a source provided to Axios about the IPO planning.

Go deeper

Updated 4 mins ago - Politics & Policy

Coronavirus dashboard

Illustration: Sarah Grillo/Axios

  1. Global: Total confirmed cases as of 10 a.m. ET: 12,745,734 — Total deaths: 565,782 — Total recoveries — 7,023,260Map.
  2. U.S.: Total confirmed cases as of 10 a.m. ET: 3,248,220 — Total deaths: 134,815 — Total recoveries: 995,576 — Total tested: 39,553,395Map.
  3. Politics: Trump wears face mask in public for first time.
  4. Public health: Trump's coronavirus testing czar says lockdowns in hotspots "should be on the table" — We're losing the war on the coronavirus.
  5. Education: Betsy DeVos says schools that don't reopen shouldn't get federal funds.

Betsy DeVos: Schools that don't reopen shouldn't get federal funds

Education Secretary Betsy DeVos told "Fox News Sunday" that public schools that don't reopen in the fall should not get federal funds, and that the money should be redirected to families who can use it to find another option for their children.

Why it matters: The Trump administration is engaged in a full-court press to reopen schools this fall, despite warnings from some public health officials that the coronavirus outbreak is out of control in many states and that it will be difficult for many schools to reopen safely.

28 mins ago - Health

Coronavirus testing czar: Lockdowns in hotspots "should be on the table"

The Trump administration's coronavirus testing coordinator Adm. Brett Giroir said on ABC's "This Week" that "everything" — including the "stringent lockdowns" that many governors implemented in March and April — should be "on the table" in states where new infections are skyrocketing.

Why it matters: President Trump said in June that the U.S. "won't be closing down the country again" — a view shared by many Republicans who believe that the economic damage caused by stay-at-home orders was too great to justify a second round of lockdowns.