Muscat: Bank Dhofar has submitted a revised non-binding offer to the board of directors of Ahli Bank to create a leading domestically-focussed Omani bank with a robust competitive position, well placed to serve the entirety of the market across a number of customer segments.
"The merger will combine the banks' highly complementary activities and expertise across retail, corporate, and Islamic banking for the benefit of the combined group and its customers. It will provide career development opportunities for both banks' employees; provide opportunities to create value for both sets of shareholders, notably through an improvement in the combined group's cost of funds; and provide enhanced liquidity for both sets of shareholders," the statement said.
"We noted Oman International Development and Investment Co (Ominvest) disclosure on May 15 outlined its intention to make an offer for the entire issued share capital of Ahli Bank as part of a consortium including Arab Bank plc and other investors ("the Consortium"). Our commitment to proceed with our revised offer remains unchanged and we look forward to further engagement with the Ahli Bank board. Any transaction, should it proceed, is subject to obtaining approvals from the relevant regulators and respective boards of directors and shareholders of Bank Dhofar and ABO. Further announcements will be made if and when appropriate."
Ahli Bank said it received a revised nonbinding offer from Bank Dhofar expressing its desire to explore a possibility of a merger between the two banks. "The Board of Directors of the Bank will study the revised nonbinding offer and any material developments in this regard will be announced in due course."
Ahli Bank also confirmed receiving a letter of intent from OmanInvest outlining its intention to make an offer to acquire the entire issued share capital of the Bank the Board of Directors is considering the Letter of Intent and will make the relevant disclosures in duo course in accordance with the applicable laws and regulations.