Muscat: OQ Exploration and Production Company’s announcement to offer 25 per cent of its shares for public subscription, leading to increased individual selling as investors prepared for the upcoming IPO.
Local investment institutions dominated the trading scene, contributing around 67 per cent of the total trading value, while Gulf investment institutions made up 12 per cent. Sales from local institutions reached 54.5 per cent, and Gulf institutions accounted for just 6.7 per cent. Omani individual investors were active sellers, driven by the need for liquidity ahead of the IPO, with their sales hitting 33.2 per cent of the total trading value.
The main index dropped by 15 points to close at 4745, moving away from its early-month highs. Sector-specific declines were noted, with the services sector index falling by 38 points, the industry sector index by 35 points, and the Sharia index by 4 points. However, the financial sector index saw a modest increase of 3 points, buoyed by gains in National Bank of Oman and Ominvest shares.
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Trading activity decreased significantly, with the value dropping by 15.4 per cent to RO 15.6 million and the number of deals falling by 25.5 per cent. The market value ended the week down by RO 23.5 million, settling at RO 24.553 billion.
Among individual stocks, Shell Oman Marketing Company led with a 17.3 per cent increase, closing at 880 baisas. Al Madina Investment Holding Company followed with a 10 per cent rise to 55 baisas, while Muscat Insurance Company and National Bank of Oman also saw gains. On the downside, Oman Fisheries stock fell 13.5 per cent, and Salalah Mills and Musandam Power stocks also experienced declines.
In the bonds and sukuk market, the “Oman Finance Free Bonds 2020” saw a significant 27.2 per cent increase, closing at 70 baisas. Conversely, the Ominvest sukuk saw a minor decrease, closing at 989 baisas.
Top traders included OQ Gas Networks with RO 2.9 million in trading value, Voltamp Energy with RO 2.5 million, and Bank Muscat with RO 1.6 million. These three companies made up about 45 per cent of the total trading value for the week.
Packaging Company Limited is set to hold an Extraordinary General Assembly meeting on September 30 to discuss converting the company from a public to a closed joint stock entity. The company, which recently obtained preliminary approval from the Financial Services Authority, is expected to see its shares purchased at RO 1.950 each. The company’s market value stood at RO 5.8 million, with net profits of RO 52,000 for the first half of the year, down from RO 180,000 in the same period last year.
