MUSCAT: In line with the Government’s directives concerning the privatisation of Muscat Electricity Distribution (MEDC), a member of Nama Group of companies, Nama Holding will start the divestment of a minority portion of MEDC’s share capital through a combination of private placement and an Initial Public Offering (IPO), in association with Ubhar Capital as a financial advisor for the privatisation process, Dhofar Bank, represented by the Investment Banking section for the subscription process and Al Busaidy, Mansoor Jamal & Co as the legal adviser. The first phase of the privatisation process is expected to start during the next few days with an invitation to Omani institutional investors, which will be followed by an Initial Public Offer for retail investors.
The objective of the privatisation of MEDC is to promote the participation of private sector in developing the main infrastructure of the electricity sector in order to achieve economic development. Moreover, the privatisation would promote the development of the capital market in the Sultanate and it will increase the investment options available to the local investors. Muscat Electricity Distribution Co. is a closed joint stock company established as a result of the restructuring of the Electricity and Related Water Sector under the law promulgated by the Royal Decree No.78/2004, amended by the Royal Decree No 59/2009 and the Royal Decree No 47/2013, The Company is licensed by the Authority for Electricity Regulation, to distribute and supply electricity in the Governorate of Muscat. — ONA
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