OQ signs agreement to sell 20% of Abraj’s shares for Saudi Omani Investment Company
Muscat: OQ Group, represented by its Upstream-sector, and Abraj Energy Services (Abraj, under transformation) signed an agreement with the Saudi Omani Investment Company (SOIC) by which SOIC buys 20 per cent of Abraj’s shares that are being offered in an initial public offering.
This step comes as part of the joint economic and investment cooperation between the Sultanate of Oman and the Kingdom of Saudi Arabia. It reflects the efforts exerted by Oman Investment Authority to attract foreign investments in various production and service sectors, as well as the plans of OQ, the global integrated energy group, to expand the shareholders’ ownership in some of its assets.
The signing of this anchor investment agreement reflects the regional growth strategy adopted by OQ Group and its commitment to attract foreign direct investment, in line with the objectives of Oman Vision 2040.
This investment agreement demonstrates SOIC’s confidence in Abraj’s future as a financially resilient and high-growth business with enormous potential to grow regionally. The agreement signed with strategic investors would increase the confidence of other segments of corporate and individual investors to invest in Oman.
It is worth noting that this agreement would accelerate and strengthen the business scope of Abraj as a quality oilfield services provider that enhances the in-country value and supports the development of Oman’s capital markets.
According to the stock prospectus of Abraj approved by the Capital Market Authority (CMA), the shares of Abraj will be listed for trading at the Muscat Stock Exchange (MSX) on March 14, 2023. Abraj intends to offer 49 per cent of its share capital, equal to 377,398,000 shares for public subscription.