National Bank of Oman (NBO) held its Extraordinary General Meeting (EGM) with shareholders at the bank’s Head Office in Athaiba, recently for the approval of a capital raising plan over the next five years.

The bank’s plan to raise capital consists of issuances of additional Tier-1 capital in the region of USD 300mn (and/or OMR equivalent) and Tier 2 capital in the region of OMR 50mn (and/or USD equivalent).

The shareholders approved the Board’s proposal of the above capital raising plan. The issuance timing and pricing is to be determined based on market conditions and is to be actioned within five years subject to the required regulatory approvals. The shareholders also gave their consent to the Board of Directors of the bank, to take the required steps and actions to implement the above.

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Sayyida Rawan Ahmed bint Al Said, Chairperson of NBO, said: “We thank our shareholders for fully supporting National Bank of Oman’s capital raising plan to diversify our funding base and maintain a strong capital position. The approval is a demonstration of the bank’s strong financial position and with the outcome of this transaction, the Bank will continue to remain well capitalised. Investors both in Oman and overseas have shown a clear appetite for the bank’s capital market instruments and we are delighted to have their support.”