MUSCAT -- Shares of Galfar Engineering & Contracting will be listed on the Muscat Securities Market (MSM) tomorrow, said an official at the lead manager. The shares will be first listed on the parallel market and will be free of stipulations like 10 per cent upper ceiling on a day's trading for the first three days of trading, said Sundararajan, Executive Vice-President of the Financial Corporation, which lead managed the share offer.
He said the shares would be moved to the regular market after market authorities watch the trading volumes and price movement for some days. Oman's biggest construction firm floated a RO 60 million initial public offering in September. Galfar's IPO was oversubscribed by thirteen-and-a-half times with the issue raising a record RO 872.97 million from investing public and institutions. As many as 28,805 retail investors applied for 136.65 million shares (or RO 82.26 million) -- an oversubscription of more than one time. They were allotted 60 million shares, accounting for 60 per cent of the total issue.
As many as 764 institutional investors have applied for 1344.59 million shares (or RO 809.44 million), indicating an oversubscription of more than 32 times. They have been allotted 40 million shares, which accounts for 40 per cent of the issue size. The lead managers of the issue allotted 43.9 per cent shares to those individual or retail investors who applied for 10,000 or less shares. In the case of institutions, the allotment is much less at 2.97 per cent.
By Business Reporter
© Oman Daily Observer 2007
