OQEP to offer at least 2 billion shares in Oman’s largest IPO
Published: 02:09 PM,Sep 22,2024 | EDITED : 06:09 PM,Sep 22,2024
The Financial Services Authority has approved the company's prospectus.
MUSCAT: OQ Exploration and Production Company (OQEP), a core subsidiary of OQ Groups — an affiliate of the Oman Investment Authority (OIA) — is set to launch the largest initial public offering (IPO) in the history of the Omani capital market. The Financial Services Authority has approved the company's prospectus, allowing it to offer at least two billion shares, representing 25% of its capital, for public subscription starting September 30.
This milestone IPO is part of OIA’s broader strategy to divest government assets and align with the objectives of Oman Vision 2040, which seeks to attract both national and foreign investments, while diversifying and expanding the shareholder base.
The subscription period will be open for two weeks, closing on October 9 for individual investors and October 10 for institutional investors. The shares are divided into three categories: institutional investors, individual investors, and major investors.
Institutional investors, making up 40% of the offering, can determine their price range through an order book process, set between 370 and 390 baisas per share.
Omani individuals are offered a discounted rate of 351 baisas per share, calculated from the upper limit of 390 baisas minus a 10% discount to encourage local participation. Non-Omani individuals will subscribe at 390 baisas per share.
For institutional investors, the minimum subscription is set at 100,000 shares with no maximum limit. Individual investors, who are also allocated 40% of the total shares, can subscribe to a minimum of 500 shares and a maximum of 28,500 shares. Major investors, including qualified domestic and international investors, will receive 20% of the offering.
The prospectus, prepared by the issuance manager, serves as the primary source of information for investors, providing essential data to make informed investment decisions.
This IPO marks a significant opportunity for investors to participate in one of Oman’s leading oil and gas exploration and production companies, reinforcing the country's commitment to economic diversification and sustainable growth.
This milestone IPO is part of OIA’s broader strategy to divest government assets and align with the objectives of Oman Vision 2040, which seeks to attract both national and foreign investments, while diversifying and expanding the shareholder base.
The subscription period will be open for two weeks, closing on October 9 for individual investors and October 10 for institutional investors. The shares are divided into three categories: institutional investors, individual investors, and major investors.
Institutional investors, making up 40% of the offering, can determine their price range through an order book process, set between 370 and 390 baisas per share.
Omani individuals are offered a discounted rate of 351 baisas per share, calculated from the upper limit of 390 baisas minus a 10% discount to encourage local participation. Non-Omani individuals will subscribe at 390 baisas per share.
For institutional investors, the minimum subscription is set at 100,000 shares with no maximum limit. Individual investors, who are also allocated 40% of the total shares, can subscribe to a minimum of 500 shares and a maximum of 28,500 shares. Major investors, including qualified domestic and international investors, will receive 20% of the offering.
The prospectus, prepared by the issuance manager, serves as the primary source of information for investors, providing essential data to make informed investment decisions.
This IPO marks a significant opportunity for investors to participate in one of Oman’s leading oil and gas exploration and production companies, reinforcing the country's commitment to economic diversification and sustainable growth.