OQIC IPO attracts strong investor interest in Salalah
Following a successful investor roadshow held in Muscat, Oman Qatar Insurance Company (OQIC) held a dinner meeting with investors from the Dhofar region in Salalah on Tuesday.
The meeting was attended by a large group comprising institutional investors and high net-worth individuals (HNIs) who expressed strong interest in the initial public offering (IPO) of OQIC, a press release said.
Elaborating on the extension of their IPO campaign to Salalah, Navin Kumar,
CEO of OQIC said, “As a leading insurance company in the country, we serve a large base of loyal customers in the Dhofar region through our strategic presence in Salalah. We value the relationships we have built in the Dhofar region, and it is only right for us to extend our IPO offer to our partners, customers and other stakeholders in Salalah and other adjoining places.”
“I am extremely pleased with the interest and enthusiasm that we witnessed, both in our meetings in Salalah and in Muscat, which truly underlines the persuasive investment case we have in the OQIC IPO,” he said.
Based on the strong response to OQIC IPO, Oman Arab Bank (OAB) is providing financing to its customers up to 50 per cent of their IPO application for retail investors.
OQIC is offering 25mn shares at an offer price of 160bz per share (comprising a nominal value of 100bz per share, premium of 58bz per share and offer expenses of 2bz per share). Investors can submit the IPO application forms at any branches of the subscription banks: Bank Dhofar, National Bank of Oman and OAB before close of official banking hours on October 5.
Following the IPO, the company expects to generate a five-year average dividend yield of ten per cent. This compares favourably with the average dividend yield of eight per cent for the insurance companies currently listed on the Muscat Securities Market. OQIC expects to pay its first dividend following the IPO in April 2018.