New Saudi 'Fund' to Invest Asset Cash Swiped in Purge?

[LAOIL + 33]

This is rich, even for Saudi Arabia: Looks like they're now brining on consultants to set up an "entity" to handle all the money MBS made away with in the purge of business elite ... So, like another sovereign wealth fund for the sole aim of investing and managing confiscated assets? Love it

http://www.arabianbusiness.com/politics-economics/385547-saudi-arabia-said-to-set-up-entity-for-assets-taken-in-purge

[Kate Turlington + 44]

Classic MBS. Of course, the Western consultants will be milling around this one like vultures. But the billion-dollar question is whether we're going to see some serious capital flight (or is it happening already) if business elite (and their investors) think they're the next target to fill Vision 2030 coffers...someone's got to fund this ambitious plan.

[Seleskya + 50]

I'll go out on a limb and guess that capital flight isn't easy, which was the point of getting elite to surrender their assets. No fly lists are also put in place. Everything's being watched. 

Besides, Aramco says foreign investors should be happy about the purge because it (tongue in cheek) shows the Crown Prince is serious about fighting corruption and implementing reform. 

[Kate Turlington + 44]

I think the Aramco IPO is a red herring. The ADNOC (Abu Dhabi) IPO was a least real, though no one seems to be talking about it already. 

[Rodent + 1,424]

ADNOC IPO is not doing too shabby. Opened up 16 percent over initial share price.  

Edited December 13, 2017 by Rodent

[Joanna + 68]

15 hours ago, LAOIL said:

This is rich, even for Saudi Arabia: Looks like they're now brining on consultants to set up an "entity" to handle all the money MBS made away with in the purge of business elite ... So, like another sovereign wealth fund for the sole aim of investing and managing confiscated assets? Love it

http://www.arabianbusiness.com/politics-economics/385547-saudi-arabia-said-to-set-up-entity-for-assets-taken-in-purge

New twist in cracking down on corruption. Remember Prince Mutaib Bin Abdullah, the son of the late King Abdullah and a former head of Saudi Arabia’s national guard and former frontrunner to the throne of Saudi Arabia. He was also one of 200 individuals caught up in the massive probe including 11 members of the kingdom’s royal family.

Now it looks like that has been freed for the price of $1 billion. 

Bin Abdullah was accused of embezzlement, hiring ghost employees and awarding contracts to his own firms. These deals included $10 billion purchase for for walkie talkies and bulletproof military gear worth billions of Saudi riyals

 

[Stephen + 67]

15 hours ago, LAOIL said:

This is rich, even for Saudi Arabia: Looks like they're now brining on consultants to set up an "entity" to handle all the money MBS made away with in the purge of business elite ... So, like another sovereign wealth fund for the sole aim of investing and managing confiscated assets? Love it

http://www.arabianbusiness.com/politics-economics/385547-saudi-arabia-said-to-set-up-entity-for-assets-taken-in-purge

They are taking austerity measures seriously

The WSJ reported that the government may be able to reclaim as much as $800 billion in assets.