Though the IPO, AFIC is offering 25.82mn shares at an offer price of 190bz per share (comprising a nominal value of 100bz, premium of 88bz and offer expenses of 2bz per share). The IPO represents an offer of 25 per cent of the total share capital of the company. The offer opened for public subscription on Sunday and will close on April 2.
The company has appointed Ubhar Capital as the financial advisor and issue manager for the IPO. The IPO subscription is open to both Omani and non-Omani investors and juristic persons.
“Being part of Arabia Insurance and Al Anwar Holdings, AFIC has adopted global best practices in the sector, enabling the company to build trust and confidence with stakeholders. The launch of our IPO is a very exciting phase for the company as it opens a new chapter in its rich history in the sultanate. The IPO offers a unique opportunity for all to be a part of Arabia Falcon’s historical success, and its bright future,” Shabir M al Yousef, deputy chairman of AFIC, said while speaking at a press conference on Tuesday.
A R Srinivasan, chief executive officer of AFIC, said, “We have constantly made positive strides to become one of the leading companies in the insurance sector in Oman. The AFIC IPO is distinctive, given it represents the combined strength of a well-established Omani institution and the expertise of one of the oldest Arab insurance companies in the business. The opening of our IPO underlines our compliance with the Royal Decree and Omani insurance regulations, and also offers an attractive investment opportunity to investors in Oman and elsewhere.”
The company expects to pay its first dividend following the IPO in April this year.
Application forms for the IPO are available for collection at all branches of the subscription banks: Bank Sohar, National Bank of Oman and Oman Arab Bank.
Falcon Insurance Company was established in 2005 and has been operating as Arabia Falcon Insurance since March 2017. The company is a subsidiary of Arabia Insurance, the oldest Insurance group in the region, and benefits from Arabia Insurance’s regional and local experience; providing top-notch insurance services to the Omani market.
AFIC’s second biggest shareholder and promoter is Al Anwar Holdings; and its other promoters include George Chidiac, Lawrence Investments LLC, ONIC, and Amin Mohammed al Shareef.
AFIC provides protection services in general insurance and life insurance, and operates form several branches all over Oman. At present, AFIC has plans to open more branch offices; thus expanding its network all over Oman.