Ominvest-led consortium intends to acquire 75% stake in Ahli Bank under new offer
The consortium led by Oman International Development and Investment Company (Ominvest) has revised some of the terms of its acquisition offer recently made to acquire Ahli Bank.
The Ominvest-led consortium now intends to make an offer to acquire up to 75 per cent of the share capital of Ahli Bank, rather than the entire issued share capital, according to a disclosure submitted by Ominvest to the Muscat Stock Exchange on Wednesday.
As per the revised terms, the consortium will make an increased cash offer of 200bz per share to all the shareholders of
Ahli Bank, thereby providing a 'fair, equal, and attractive cash offer to all the shareholders of Ahli Bank to participate in and benefit from the offer'.
Ominvest, through its fullyowned subsidiary, currently owns an 8.68 per cent shareholding in Ahli Bank. The consortium intends to acquire up to 66.32 per cent of the issued share capital of Ahli Bank with the objective of owning up to 75 per cent of Ahli Bank. Ahli Bank shall maintain a minimum free float of 25 per cent of the issued share capital in accordance with the relevant regulatory requirements.
According to Ominvest's disclosure, Bahrain-based Ahli United Bank, as the strategic long-term investor of Ahli Bank, shall be paid the offer price of 200bz per share in full for their 35 per cent shareholding in Ahli Bank, amounting to Ro136.5mn.
All other shareholders of Ahli Bank will receive a minimum of 55.6 per cent consideration in cash (on a pro-rata basis), at an attractive offer price of 200bz per share, amounting to Ro122.12mn. For the remaining portion, they will continue as shareholders in Ahli Bank during the intervening period before the intended merger of Ahli Bank with Oman Arab Bank, and the shares of Ahli Bank will continue to be traded on the Muscat Stock Exchange.
'The proposed offer shall be funded by the members of the consortium from their own funding sources, thereby resulting in a positive foreign direct investment in Oman. This will mean that there is no constraint on Ahli Bank's or Oman Arab Bank's capital or lending ability as a result of the offer,' the Ominvest disclosure said.
Ominvest stated that the members of the consortium have significant experience in the financial services sector within the region. 'The consortium shall be a committed anchor investor who will support Ahli Bank's growth and provide further strategic direction.'
'The offer shall be pursuant to the Takeover Regulations and is subject to the approval of the shareholders, the Central Bank of Oman, and other applicable requirements,' Ominvest added.