The public subscription to OQ Exploration and Production company’s (OQEP) shares for “Individuals” will close on Wednesday 9 October 2024. The “Individuals Category” represents 40 percent of the overall volume of OQ shares offered for subscription, with an estimated 800 million shares available. The subscription period for the “Institutions Category” will close on Thursday 10 October 2024, with 800 million shares also available for subscription. The “Major Investors Category” has already subscribed to 20 percent of the offered shares, which amounts to 400 million shares.
The total number of OQEP shares available for subscription is two billion, making it the largest IPO of its kind in the Sultanate of Oman and the region in 2024. The shares represent 25 percent of the company’s capital, which is owned by OQ Group. Haitham Salim Al Salmi, CEO of Muscat Stock Exchange (MSX), believes that OQEP’s entry into MSX will be a significant milestone in the stock market’s upgrade project. Listing the company on the stock exchange will enhance its position as an attractive investment destination, with a market value of over OMR3 billion after listing, representing about 11.6 percent of the total market value of companies listed on the stock exchange.
Al Salmi stated that MSX has been working hard to get upgraded to the category of “nascent stock,” as endorsed by global rating agencies and institutions that set criteria for classifying stock exchanges based on liquidity and trading volumes for listed companies. MSX aims to provide an attractive investment environment to boost its growth in the future. The start of 2024 saw the launch of market making activity, with plans to announce “Margin Financing Activity” and “Securities Lending and Borrowing Activity” in collaboration with the Financial Services Authority (FSA) and the Muscat Clearing and Depository Company (MCD).
In conclusion, the closure of the subscription period for OQEP shares for “Individuals” and “Institutions” is set for 9 and 10 October 2024, respectively, with a total of two billion shares available for subscription. The company’s IPO is the largest of its kind in Oman and the region for the year 2024, representing a significant portion of its capital owned by OQ Group. The addition of OQEP to the Muscat Stock Exchange is expected to elevate the stock market’s status and attract more investors, with a market value of over OMR3 billion. The MSX has been working towards upgrade to a “nascent stock” category, aiming to provide a favorable investment environment for growth in the future. The launch of market making activity and upcoming services like “Margin Financing Activity” and “Securities Lending and Borrowing Activity” are set to further enhance the investment opportunities on the exchange.
