MUSCAT: Sohar International, at the Extraordinary General Meeting (EGM) of its shareholders on Thursday, agreed to increase the authorized share capital of the company from RO 400 million to RO 1 billion while amending Article 5 of the Articles of Association accordingly.
The meeting was presided over by Mohamed Mahfoodh al Ardhi, Chairman of the Board of Directors, and attended by other members of the Board, the executive management team of Sohar International and shareholders. Held at the Crowne Plaza Hotel, Qurum, the EGM was streamed via the electronic platform for convening General Meetings which is accessible through the Muscat Clearing and Depository's website.
The EGM ratified all the items on the agenda, including the issuance of up to 75,000 additional Tier 1 capital instruments in the form of perpetual bonds comprising an issue of up to 50,000 bonds with a green shoe option for up to an additional 25,000 bonds on a private placement basis, at a price of RO 1,000 per bond, aggregating up to RO 75 million. In addition, the EGM authorized the Board of Directors to determine the other terms of issuance in relation to the Tier 1 issue and take all the necessary procedures and actions to complete the process.
Commenting on the bank’s steadfast performance and growing reverence, Mohammed al Ardhi said, “As the bank progresses alongside the nation and economy, responding to the evolving market conditions and needs, Sohar International continues to deliver on multiple fronts, contributing to the country’s progress and supporting the larger community. The increase in the bank’s capital will enable the bank to further grow, and in the process, play a significant role within Oman as well as contribute to Oman vision 2040. We are hence more fortified than ever before to increase market share and add value to all our stakeholders.”
Sohar International recorded a profit for the period ending June 30, 2022 of RO 18.47 million compared to RO 15.20 million for the same period last year. Driven by an increase in loans, advances, and Islamic financings, the bank was also able to grow its total assets by 8.2 per cent to RO 4.364 billion as of June 30, 2022. Meanwhile, the bank’s customer deposits also increased by 11.5 per cent to RO 2.568 billion as compared to RO 2.304 million on June 30, 2021. Following a successful rights issue in Q3 2021 of RO 50 million, Sohar International witnessed an increase in shareholder’s equity from RO 340.3 million to RO 396.0 million.
Sohar International's Chief Executive Officer, Ahmed al Musalmi said, “By staying committed to its growth strategy, Sohar International has continued to play a proactive role in Oman socioeconomic development, actively work to provide compelling offerings, transform customer experience thru well qualified workforce and cutting edge technologies.”
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