Oman Arab Bank (OAB) has announced that it was been given the green-light by the Central Bank of Oman (CBO) to acquire Alizz Islamic Bank SAOG (AIB) and to eventually become a publicly listed entity.
The revelation came in a filing by OAB’s majority shareholder, Oman International Development & Investment Co SAOG (OMINVEST), to the Capital Market Authority (CMA) on Tuesday.
In the filing, OMINVEST referred to its disclosure dated January 16, 2020 pertaining to OAB’s “proposed transaction” with Alizz Islamic Bank. It proposed (i) Alizz Islamic’s acquisition as a fully owned Islamic banking subsidiary of OAB and its conversion into an SAOC entity, (ii) the transfer of the assets and liabilities of Al Yusr Islamic Window to Alizz Islamic Bank SAOC, and (iii) the conversion of OAB SAOC into an SAOG entity.
Announcing the banking regulator’s nod for the transaction, OMINVEST said: “We would like to disclose that OAB has received regulatory approval for the proposed transaction from the Central Bank of Oman, and is in the process of obtaining further regulatory approvals from the Capital Market Authority and other regulatory bodies. Further updates shall be duly disclosed to the market as the transaction progresses.”
Established in 1984, Oman Arab Bank’s is one of Oman’s largest lenders with operations spanning Retail banking, Corporate banking and Project finance, Investment banking, trade finance and most recently, Islamic banking. Its shareholders are: Oman International Development & Investment Co. SAOG OMINVEST (50.99%), Arab Bank Plc (49%), and Oman Real Estate Investment and Services SAOC (0.01%).
Oman Arab Bank operates more than 65 branches and offices, and more than 135 ATMs in high footfall locations across the Sultanate.