OAB successfully closes RO 42m bond

(11/8/2018 7:44:00 AM)

Oman Arab Bank (OAB) announced that it has successfully closed unsecured perpetual subordinated bonds value of RO 42.553 million as Additional Tier 1 Capital with an issue price of RO 1.000 per bond, comprising the nominal value, and an interest rate of 7.5 per cent per annum.

The bank issued the bonds at a value of RO 35 million with a green shoe option of RO 15 million and was managed by Ubhar Capital, who acted as the financial advisor, issue manager, and lead arranger. These bonds attracted a significant number of investors, which in turn prompted the bank to increase the placement size by about 22 per cent from its initial size; a clear reflection of the level of trust and confidence investors placed in the Bank.

Rashad al Musafir (pictured), the CEO of the Bank said, “The outcome of the bonds issue was as expected. The positive financial results, asset quality, and risk profile have contributed to the Bank’s strength. In addition, the close relationship of the Bank with a wide range of investors has also had a positive impact. On behalf of the Bank, I would like to extend my sincere thanks and appreciation to all the investors who have placed their trust in us. They are the cornerstone of our journey towards greater success.”

Oman Daily Observer