HSBC, Sohar International will call EGMs to finalise merger

Muscat: The boards of Sohar International and HSBC Bank Oman have approved the terms of the merger agreement.

"Further to the disclosures made on June 16, 2022, July 26, 2022, November 16, 2022, and February 5 this year, Sohar International Bank would like to announce that, after due and careful consideration, its Board of Directors has approved the proposed merger by incorporation with HSBC Bank Oman (HSBC Oman) on the terms and conditions agreed in the Merger Agreement dated November 15, 2022 (as amended from time to time) between HSBC Oman and Sohar International," Sohar International said in a filing to the Muscat Stock Exchange (MSX).'

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"The Board of Sohar International believes that the merger is in the interests of the shareholders of Sohar International and has therefore approved the calling of an extraordinary general meeting of the shareholders of Sohar International (the EGM) to consider the merger and to present the shareholders of Sohar International with an explanatory statement including the terms and conditions of the Merger, the recommendation of the Board to vote in favor of the Merger and each of the EGM resolutions and other supporting documents, as required by applicable regulations."

In addition to the approval of the respective shareholders of Sohar International and HSBC Oman, the merger remains subject to the approval of relevant regulatory bodies. There will be no immediate change for customers as a result of today's announcement, the bank said.

HSBC Bank Oman said in its statement said that after due and careful consideration, its Board of Directors approved the proposed merger by incorporation with Sohar International Bank (Sohar International) on the terms and conditions agreed in the Merger Agreement dated November 15. It called for an extraordinary general meeting of the shareholders of HSBC Oman (the EGM) to consider the Merger and to present the shareholders of HSBC Oman with an explanatory statement including the terms and conditions of the Merger and the recommendation of the Board to vote in favor of the Merger.

A separate announcement will be made in relation to the date, time, and agenda of the EGM in due course and in accordance with applicable laws, HSBC Oman said in a statement.