An IPO (Initial Public Offering) is the process of offering shares of a private company to the public. This allows the company to raise capital from public investors or the selling shareholders to monetize their stakes in the business. The company will have to meet certain requirements and regulations and take approval from the Financial Services Authority (FSA) and Muscat Stock Exchange (MSX) before it can list its shares on a stock exchange.

Investing in an IPO can be a rewarding opportunity for investors who want to participate in the growth potential of a new or emerging company. Some of the benefits of investing in an IPO are:

• The ability to buy shares at a lower price before they start trading on the market.
• Gain exposure to a new sector or industry that may have high demand & profitability.
• The option to sell your shares at a higher price if the demand exceeds the supply or if the company performs well after going public.
  

New IPO: OQ Exploration and Production SAOG​​​​

About OQEP:

OQ Exploration & Production SAOG (under Transformation) (the "Company" or "OQEP") is Oman’s largest pure-play Oil & Gas exploration and production company. It is the only upstream Oil & Gas operator entirely owned by the government of Oman & currently ranks among the top three Oil & Gas producers and is also one of the largest holders of Oil & Gas reserves in Oman.

The company is going public by offering 2,000,000,000 Offer shares under the following structure:

• Initial Public Offering of 2,000,000,000 Offer Shares.
• Category I Subscription Price Range: OMR 0.370 to OMR 0.390 per Offer Share.
• Category II Subscription Price for Omani Individuals: At a Discounted Maximum Price of OMR 0.351 per Offer Share, calculated as the Maximum Price of: OMR 0.390 less a discount of 10%.
• Category II Subscription Price for Non-Omani Individuals: At a Maximum Price of OMR 0.390 per Offer Share.

Offer Periods:

• Category I Offer Period: 30 September 2024 to 10 October 2024.
• Category II Offer Period: 30 September 2024 to 9 October 2024.

Subscription Price Range

Category I

Subscription price range: OMR 0.370 to OMR 0.390 per Offer Share.

Category II

• Subscription price for Omani Individuals at a discounted maximum price of: OMR 0.351 per Offer Share, calculated as the maximum price of OMR 0.390 less a discount of 10%.
• Subscription price for Non-Omani individuals at a maximum price of: OMR 0.390 per Offer Share.​
  
  

IPO Details:​

How to Invest/subscribe in OQEP Company’s IPO?

Institutions (Category I Applicants):

The Category I Offer will be open in Oman to Omani Applicants and Non-Omani Applicants only who have their accounts with Muscat Clearing & Depository (MCD).

Application Process:

1. You must have an active Investor Account Number issued by Muscat Clearing & Depository (MCD). Please visit www.mcd.om for more details.
2. Visit your nearest branch to subscribe and fill in the pre-numbered bid form specific for Category I (hard copy).

Institutional investors who want to inquire about financing facility for the purpose of IPO subscription are requested to contact their Corporate Banking Relationship Manager. Prospective investors should refer to the Prospectus of OQ Exploration and Production IPO that is also available on the website of the Financial Services Authority for details about the issue (https://fsa.gov.om/Home/EPublications/IPOs) and subscription conditions and procedures for Category I investors.

Individual Investors (Category II Applicants):

The Category II Offer will be open in Oman to Omani and non-Omani Applicants (individuals) who have their accounts with Muscat Clearing & Depository (MCD).

For Category II the minimum of 500 Offer Shares and in multiples of 100 Shares thereafter. The easiest way to subscribe to the IPO is through the mBanking App or Internet Banking.

Through mBanking:

Click here to know how to apply for the IPO with Bank Financing through mBanking

Click here to know how to apply for the IPO with Self-Contribution through mBanking

Through Internet Banking:

Click here to know how to apply for the IPO with Bank Financing through Internet Banking

Click here to know how to apply for the IPO with Self-Contribution through Internet Banking

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Our branches will also accept physical applications, for which applicants should first provide their particulars in the E-IPO Platform on the MCD website www.mcd.om. After verifying all the particulars, applicants need to print the E-IPO Application and submit it along with supporting documents and application money to any of our branches. Investors will receive a copy of the acknowledgment from the branch as proof of their application.

Prospective investors should refer to the Prospectus of OQEP – IPO(Click here) that is also available on the website of the Capital Market Authority for details about the issue (https://fsa.gov.om/Home/EPublications/IPOs) and subscription conditions and procedures for Category II investors.

What are the requirements to subscribe for OQEP IPO?

1. An active Investor Account issued by Muscat Clearing & Depository (MCD). You can create an Investor Account through www.mcd.om or by downloading the Oman Stocks App.
2. Apply for the subscription through the mBanking App or Internet Banking. Alternately, you may fill the E-IPO Application on the MCD website and visit your nearest branch for the payment.(To be clarified with Wholesale Banking Backoffice)

The transaction limit for an IPO subscription (without availing IPO financing) on mBanking is OMR 200,000 and on Internet Banking is OMR 400,000. Please note that multiple applications and joint applications cannot be accepted.

Subscription with Financing:

Bank Muscat is offering 1:1 IPO financing facilities for the OQEP IPO through mBanking & Internet Banking. Our eChannels provide a secure and user-friendly experience for you to effortlessly apply for IPO financing. With just a few clicks, you can take advantage of this investment opportunity from the comfort of your own home.

• The minimum age for financing is 18 Years Old.
• Financing will be available on a 1:1 basis.
• The minimum financing amount is OMR 1,000, and the maximum financing amount is OMR 100,000. Therefore, the maximum application size with financing on Mobile Banking and Internet Banking will be OMR 200,000.
• Maximum financing tenure is 6 months at an interest rate of 6% p.a. Interest shall be applied after the IPO closure and if the financed amount is not fully covered by the refund. No prepayment charges are applicable at the time of refund.
• Pre-payment charge of 1% on the outstanding amount is applicable in case pre-payments are made after the refund is processed by Muscat Clearing & Depository (MCD).
• Customers who wish to avail financing should not apply through E-IPO process on the MCD website.
• Since this is a non-salary linked loan, the following is not applicable: Maximum Debit Burden on the received salary, Age at maturity, Minimum service period.

IPO Financing upfront charges:

What is required to apply for OQEP IPO Financing?

1. An active Investor Account issued by Muscat Clearing & Depository (MCD). You can create an Investor Account through the MCD website www.mcd.om or download the Oman Stocks App.
2. An active Brokerage Account through the Bank Muscat approved brokers:
   • United Securities
   • Ubhar Capital​
3. An active mBanking App/Internet Banking account.

Physical Applications:

If you are unable to use the m Banking App or Internet Banking to avail IPO financing, or need a higher subscription or financing amount, you may visit your nearest branch. Our branches will assist you in the IPO subscription process to ensure that you are able to subscribe through the most convenient channel.

Investing in the Offer Shares involves significant risks. Prospective investors should refer to the prospectus document in its entirety and, in particular, prospective investors are advised to examine all of the risks that are relevant in connection with an investment in the Offer Shares.

Disclaimer: The details of the IPO provided here is prepared for information purposes only and is for the benefit of investors who may subscribe under the Prospectus​. The Prospectus is the formal offering document pursuant to which the offering is being made. You must obtain, and read in full, a copy of the Prospectus, before deciding whether to invest in Shares of the Company. Such a decision is subject to certain risks, which are set out in detail in the Prospectus and any decision to subscribe for shares must be based solely on the Prospectus and not on this document. This information is not, and is not intended to be, a substitute for the Prospectus. Copies of the Prospectus will be available to investors through the Collection Agents, on the Company’s IPO microsite or can be downloaded from the websites of the FSA and MSX, as follows: fsa.gov.om and www.msx.om, respectively.