Oman Qatar Insurance Company IPO attracts overwhelming response


(MENAFN- Gulf Times) Oman Qatar Insurance Company (OQIC), a subsidiary of Qatar Insurance Group, has seen overwhelming response to its initial public offering (IPO) launched early this month.
OQIC is offering 25mn shares at an offer price of 160 baisa per piece (comprising a nominal value of 100 baisa, premium of 58 baisa and offer expenses of 2 baisa). The IPO, which represents an offer of 25% of the total share capital of the company, is priced at a discount of about 14% (P/B) to national peers.
'We are extremely pleased with the strong interest and enthusiasm around the IPO of OQIC, which is a reflection of the fundamental strength of our company and its compelling investment case, according to Navin Kumar, its chief executive.
Following the IPO, whose subscription closes on October 5, the company expects to generate a five-year average dividend yield of about 10%. This compares favourably with the average dividend yield of 8% for the insurance companies currently listed on the Muscat Securities Market. OQIC expects to pay its first dividend following the IPO in April 2018.
Ali al-Fadala, senior deputy group president and chief executive of QIC Group said OQIC has been playing a leading role in the insurance sector in Oman and brings with it strong credentials and the backing of its parent, QIC, which is the largest insurance group in the Middle East and North Africa region.
'OQIC with its highly diversified set of distribution channels in Oman, including digital, branches and bancassurance, along with its focus on select set of profitable segments differentiates the Company from the other participants in the Omani insurance industry, he said.
Recently OQIC hosted an investor roadshow in Muscat that attracted attendees from a broad range of investors, including institutions, high-net worth individuals, established family businesses, and investment analysts from brokerage houses. Plans are in place for holding a similar roadshow event in Salalah.

MENAFN2209201700670000ID1095888634


Gulf Times

Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.