20 December 2016

Muscat, In March 2016, Oman Investment Fund (OIF), Oman International Development and Investment Company (OMINVEST) and Arab Bank (Switzerland) (ABS) entered into a Memorandum of Understanding (MOU) to acquire Oman Arab Bank’s (OAB) investment Management Group business. A leading name in the investment sector in Oman, Investment Management Group has, over the past two decades established itself as one of the largest asset managers and a leading stock broker in the Sultanate and has executed some of the most notable corporate finance deals including initial public offerings (IPO’s), debt placements and other advisory mandates.

OIF, OMINVEST and ABS recently established Ubhar Capital SAOC (U-Capital), which is envisioned to become Oman’s leading independent investment banking platform. We are pleased to announce that on 19th December 2016, U-Capital agreed to acquire Investment Management Group. The acquisition will encompass the entire existing Investment Management Group platform, including systems, human resources, licenses, assets and liabilities. U-Capital has also been granted Regulatory Approvals to acquire Investment Management Group from OAB and will provide significant strategic support to U-Capital to further develop and build its underlying lines of business. U-Capital will commence business operations in January 2017 and support servies will include investment banking, asset management, brokerage and custody services.

Rashad Al Zubair, Chairman of Oman Arab Bank said, “We are pleased that Investment Management Group has been a leading player in the investment banking sector in Oman and has been instrumental in Oman’s economic development over the past two decades. We at OAB are excited that U-Capital has long term sustainable growth plans for the company and with this new shift, we can focus on its core strengths of building world class leading bank in Oman.” 

Amin Al Husseini, CEO of OAB commented that the sale of Investment Management Group has been a concerted effort by the entire OAB management team and part of the overall strategy of the bank to augment its position in the Bank’s other business verticals. He thanked both the Central Bank of Oman and Capital Market Authority for creating a conducive investment environment and for their continued support and further added that the sale will significantly strengthen the Bank’s financial position and the proceeds will be utilized to finance core strategic initiatives.

Lo’ai Bataineh, who will be heading U-Capital and who has headed Investment Management Group since its inception, is confident of the bright future of U-Capital with its expanded scope. He added that his team has been in touch with their clients throughout the transition. All clients can be rest assured that there will be no impact on their services and mandates and that their transition from Investment Management Group to U-capital will be smooth and seamless.

With the planned business expansion, new resources and capabilities, U-Capital is expected to become one of the largest and best-equipped investment banking companies in Oman with a host of new benefits and products available for customers to enjoy and benefit from.

-Ends-

About Oman Arab Bank:

Oman Arab Bank SAOC was established in 1984 following the acquisition of Arab Bank's branches in the Sultanate. Over the past three decades, the Bank has consistently expanded its reach as well as its products and services offering to provide customers in the country with a comprehensive suite of innovative solutions in Retail banking, Corporate and Project finance, Investment banking, trade finance and most recently, Islamic Banking.

Today, Oman Arab Bank operates more than 65 branches and office, and more than 135 ATMS in high footfall locations across the Sultanate. The Bank’s principal shareholders are Oman International Development and Investment Company SAOG (51%) and Arab Bank PLC (49%) and As of December 31st 2015, the Bank’s total assets stood at RO 1.98 Billion (USD 5.15 Billion) and net worth of RO 226 Million (USD 587 Million).

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© Press Release 2016