New $126m Tanmia Liquidity Fund to enhance liquidity on MSX
Published: 05:05 PM,May 16,2024 | EDITED : 01:05 AM,May 17,2024
Tanmia Liquidity Fund (1)
Muscat: The Tanmia Liquidity Fund was inaugurated at the Muscat Stock Exchange (MSX) on May 16, 2024. The fund, which has a value of $126 million, is dedicated to enhancing market depth and boosting liquidity on the exchange while achieving Long-term capital growth for the fund.
Oman National Investment Development Company “Tanmia,” a leading investment and fund management company, will act as the investment manager in collaboration with SICO BSC (c), a leading regional asset manager, broker and investment banking services.
The timing of the fund's launch aligns strategically with the ongoing reforms within the Omani capital markets, coinciding with announcements of new IPOs, regulations pertaining to market making, and intensified marketing endeavors by MSX through roadshows and other promotional activities. In recent months, the MSX has undergone a series of initiatives geared towards bolstering the local capital markets reform, and there has been a notable in certain capital market regulations, particularly concerning the dividends tax.
Khalid bin Awadh al Balushi, CEO of Tanmia, emphasized that this project marks a milestone in Tanmia's long journey with its strategic partners to launch Tanmia Liquidity Fund, which will expand the investor base and enhance liquidity in local financial markets.
He expressed gratitude to the Financial Services Authority, the Muscat Stock Exchange, and the National Program for Financial Sustainability for their adequate support in realizing the vision of establishing the fund.
He added, “This fund is an extension of the company’s journey — since its establishment in 1998 — in launching various investment initiatives and products that achieve investment returns and enhance the national economy.
“We at Tanmia always seek to promote sustainable investments and maximize value for shareholders, in collaboration with various financial institutions and regulatory authorities, to achieve Oman Vision 2040 in line with the noble directives of His Majesty Sultan Haitham bin Tarik.”
SICO's Group CEO, Najla al Shirawi, commented, “The launch of Tanmia Liquidity Fund underscores the joint efforts of SICO and our partners in Oman, backed by the regulatory authorities in the Sultanate of Oman.
“We're grateful to our partners for their confidence in our abilities and dedication to improving the liquidity for shares of listed companies.
“Highly liquid financial markets are essential in providing tangible advantages to the national economy. A robust and dynamic capital market can significantly increase economic growth and promote a more diversified economy.”
The partnership between SICO and Tanmia aims to emulate the prosperous model of the Bahrain Liquidity Fund, SICO's fund on the Bahrain Bourse. Since its inception, this fund has nearly tripled the market's overall liquidity.
Consequently, the index has achieved impressive returns, while listed companies have enjoyed enhanced valuation.
CONRAD PRABHU
MUSCAT, MAY 16 Oman's nascent green hydrogen industry, underpinned by as many as eight mega-scale projects to date, has the potential to position the country as the global epicenter of clean energy production and export, according to the head of Oman Investment Authority (OIA), a pivotal player in this emerging sector.
Abdulsalam bin Mohammed al Murshidi, Chairman of Oman Investment Authority (OIA), articulated this vision in an interview to The Business Year, a London-based global business news portal.
“Green hydrogen is presently first on our agenda given that it is new, and we need to be ahead of the game. There is a great deal of competition, but Oman plans to be the hydrogen capital of the world, similar to Houston with regard to oil and gas,” Al Murshidi remarked.
The comments come on the heels of landmark agreements signed recently by Hydrom — the orchestrator of Oman's green hydrogen sector — awarding land blocks for a further two large-scale projects, taking the national total to eight to date.
Investments in these eight projects are estimated to total around $48 billion, ensuring the delivery of an aggregate green hydrogen production capacity of around 1.4 million tons per annum by 2030.
Al Murshidi stressed the importance of collaboration in crystallizing this vision. “We do not yet have the full value chain, though we are seeking partnerships globally to bring it to Oman.
“However, in terms of resources, we have the right ingredients to be at the top when it comes to investing potential in renewable energy.
“We believe Oman should be among the top three in the world when it comes to competitiveness in green hydrogen,” the official stated.
Boding well for Oman's success in this increasingly competitive global marketplace are two factors: Firstly, the abundance of solar and wind resources necessary to fuel renewable hydrogen production, and perhaps more crucially, the presence of underlying legal frameworks pivotal to fostering the growth of this new industry — a prerequisite that is missing in many other countries pursuing similar ambitions.
“We run everything through open auctions and global participation and have received higher interest than expected.
“The Omani government, including the Ministry of Energy and Minerals and OIA, has set an ambitious strategy for this goal,” Al Murshidi emphasized.
Oman Investment Authority, the integrated sovereign wealth fund of the country, is set to play a significant part in the growth of this new sector, the chairman said.
“OIA and its companies are also working on projects across the H2 industry value chain, such as electrolyzers, storage and shipping.
“The aim is to localize the technologies and industries needed to produce, store, use and export hydrogen.”
But he appreciated challenges along the way, notably in the scaling up of technologies necessary to produce cost-competitive renewable hydrogen, as well as building out the underlying common infrastructure.
OIA, through its subsidiaries, is set to play a major part in key aspects of the green hydrogen value chain.
'National Champions' among its subsidiaries will participate in the equity of key projects, develop the common infrastructure, partner with international organizations in establishing hydrogen transport corridors, and explore downstream green manufacturing opportunities, among other prospects.
Oman National Investment Development Company “Tanmia,” a leading investment and fund management company, will act as the investment manager in collaboration with SICO BSC (c), a leading regional asset manager, broker and investment banking services.
The timing of the fund's launch aligns strategically with the ongoing reforms within the Omani capital markets, coinciding with announcements of new IPOs, regulations pertaining to market making, and intensified marketing endeavors by MSX through roadshows and other promotional activities. In recent months, the MSX has undergone a series of initiatives geared towards bolstering the local capital markets reform, and there has been a notable in certain capital market regulations, particularly concerning the dividends tax.
Khalid bin Awadh al Balushi, CEO of Tanmia, emphasized that this project marks a milestone in Tanmia's long journey with its strategic partners to launch Tanmia Liquidity Fund, which will expand the investor base and enhance liquidity in local financial markets.
He expressed gratitude to the Financial Services Authority, the Muscat Stock Exchange, and the National Program for Financial Sustainability for their adequate support in realizing the vision of establishing the fund.
He added, “This fund is an extension of the company’s journey — since its establishment in 1998 — in launching various investment initiatives and products that achieve investment returns and enhance the national economy.
“We at Tanmia always seek to promote sustainable investments and maximize value for shareholders, in collaboration with various financial institutions and regulatory authorities, to achieve Oman Vision 2040 in line with the noble directives of His Majesty Sultan Haitham bin Tarik.”
SICO's Group CEO, Najla al Shirawi, commented, “The launch of Tanmia Liquidity Fund underscores the joint efforts of SICO and our partners in Oman, backed by the regulatory authorities in the Sultanate of Oman.
“We're grateful to our partners for their confidence in our abilities and dedication to improving the liquidity for shares of listed companies.
“Highly liquid financial markets are essential in providing tangible advantages to the national economy. A robust and dynamic capital market can significantly increase economic growth and promote a more diversified economy.”
The partnership between SICO and Tanmia aims to emulate the prosperous model of the Bahrain Liquidity Fund, SICO's fund on the Bahrain Bourse. Since its inception, this fund has nearly tripled the market's overall liquidity.
Consequently, the index has achieved impressive returns, while listed companies have enjoyed enhanced valuation.
CONRAD PRABHU
MUSCAT, MAY 16 Oman's nascent green hydrogen industry, underpinned by as many as eight mega-scale projects to date, has the potential to position the country as the global epicenter of clean energy production and export, according to the head of Oman Investment Authority (OIA), a pivotal player in this emerging sector.
Abdulsalam bin Mohammed al Murshidi, Chairman of Oman Investment Authority (OIA), articulated this vision in an interview to The Business Year, a London-based global business news portal.
“Green hydrogen is presently first on our agenda given that it is new, and we need to be ahead of the game. There is a great deal of competition, but Oman plans to be the hydrogen capital of the world, similar to Houston with regard to oil and gas,” Al Murshidi remarked.
The comments come on the heels of landmark agreements signed recently by Hydrom — the orchestrator of Oman's green hydrogen sector — awarding land blocks for a further two large-scale projects, taking the national total to eight to date.
Investments in these eight projects are estimated to total around $48 billion, ensuring the delivery of an aggregate green hydrogen production capacity of around 1.4 million tons per annum by 2030.
Al Murshidi stressed the importance of collaboration in crystallizing this vision. “We do not yet have the full value chain, though we are seeking partnerships globally to bring it to Oman.
“However, in terms of resources, we have the right ingredients to be at the top when it comes to investing potential in renewable energy.
“We believe Oman should be among the top three in the world when it comes to competitiveness in green hydrogen,” the official stated.
Boding well for Oman's success in this increasingly competitive global marketplace are two factors: Firstly, the abundance of solar and wind resources necessary to fuel renewable hydrogen production, and perhaps more crucially, the presence of underlying legal frameworks pivotal to fostering the growth of this new industry — a prerequisite that is missing in many other countries pursuing similar ambitions.
“We run everything through open auctions and global participation and have received higher interest than expected.
“The Omani government, including the Ministry of Energy and Minerals and OIA, has set an ambitious strategy for this goal,” Al Murshidi emphasized.
Oman Investment Authority, the integrated sovereign wealth fund of the country, is set to play a significant part in the growth of this new sector, the chairman said.
“OIA and its companies are also working on projects across the H2 industry value chain, such as electrolyzers, storage and shipping.
“The aim is to localize the technologies and industries needed to produce, store, use and export hydrogen.”
But he appreciated challenges along the way, notably in the scaling up of technologies necessary to produce cost-competitive renewable hydrogen, as well as building out the underlying common infrastructure.
OIA, through its subsidiaries, is set to play a major part in key aspects of the green hydrogen value chain.
'National Champions' among its subsidiaries will participate in the equity of key projects, develop the common infrastructure, partner with international organizations in establishing hydrogen transport corridors, and explore downstream green manufacturing opportunities, among other prospects.