Muscat – The company’s initial public offering (IPO) was one of the largest in the history of the Omani stock market, attracting strong demand from both institutional and individual investors.

Between September 30 and October 10, OQ Exploration and Production offered 25 percent of its capital – equivalent to 8 billion shares – for public subscription. The initiative drew substantial interest from both institutional and individual investors, with total demand reaching RO 1.8 billion, leading to an impressive coverage ratio of approximately 2.4 times.

Azzan Mohammed Al Abdullatif, Deputy Head of Public Subscriptions Implementation at OQ Group, described the listing as a historic milestone for the Sultanate, marking the first time shares from the energy sector focused on exploration and production will be traded on the MSE. He emphasized that this move aligns with the Oman Investment Authority’s divestment plan, part of the broader goals of Oman Vision 2040.

He stated that this subscription is not only the largest in the history of the stock market in Oman but also the biggest in the Middle East and North Africa since the start of 2024, highlighting the listing’s potential to promote economic diversification and attract foreign investments, thereby enhancing confidence in Oman’s stock market.

Mustafa bin Ahmed Salman, Chairman and CEO of United Securities Company, added that the inclusion of OQ Exploration and Production in the market is a pivotal step in the MSE’s development plan, which aims to enter emerging market indices. He projected that the company’s market value could exceed 3 billion Omani riyals upon listing, given its total assets of $800 billion (approximately RO 307.6 million).
While the initial share price predictions remain uncertain due to potential selling pressure from individual subscribers, experts anticipate robust demand in the days following the listing. Salman expressed optimism that the stock would see increased interest, particularly as the MSE has been one of the top-performing exchanges in the Gulf this year.

He also noted that the company plans to distribute more than 8 percent as a return per share, which aligns well with investors’ expectations under current economic conditions. United Securities Company is actively working to attract foreign investors to enhance their stakes in this promising stock.
Salman encouraged investors to consider increasing their holdings rather than selling off shares, citing the company’s commitment to distributing 90 percent of its available cash annually, which is expected to positively influence both the stock price and the overall market.