Bank Muscat successfully manages OMR200mn Sovereign Sukuk Issuance

01/01/2026 04:22 AST

Bank Muscat announced that it successfully managed series 10 of the Sovereign Sukuk Issuance launched by Oman Sovereign Sukuk Company, with a total value of OMR200 million. The sukuk carries a 7-year maturity and offers an annual profit rate of 4.15%.

Bank Muscat was appointed as the issue manager and collecting bank for the subscription by Ministry of Finance, in collaboration with other local financial institutions. This mandate reinforces the bank's role in executing major investment transactions within the Sultanate of Oman and across GCC capital markets.

The subscription window for the sukuk issuance opened from 17 December to 22 December 2025, with the sukuk settlement scheduled for Thursday, 25 December 2025.

The sukuk was priced within a competitive yield range, with an average yield of 4.11%, a minimum yield of 4.07%, and a maximum yield of 4.15%, reflecting strong investor confidence and market stability. The sukuk payouts will be made semi-annually on 25 June and 25 December each year until maturity on 25 December 2032.

The issuance witnessed participation from different categories of investors, retail as well as institutional. The sukuk is structured in accordance with Sharia-compliant principles and is fully tradable on the Muscat Stock Exchange (MSX) at prevailing market prices. All allocation details and investor records will be maintained and administered by Muscat Clearing and Depository Company, as the central registrar and depository for the sukuk.

Commenting on the occasion, Khalifa Abdullah Al Hatmi, Deputy General Manager, Investment Banking and Capital Markets at Bank Muscat noted: "The Bank's appointment as the issue manager for the sukuk issuance is a testament to the trust of concerned authorities in Bank Muscat's capabilities and leadership in managing major investment transactions for a range of corporate and institutional clients.

The Bank, represented through its Investment Banking and Capital Markets division, has extensive experience in structuring and executing large-scale capital market deals, both on debt as well as equity side, and its specialized team is well-equipped to navigate evolving market dynamics and complexities."

He added that the selection of Bank Muscat as the issue manager underscores its strong local, regional, and international reputation among individuals, corporates, and financial institutions. Demonstrating its role as a key player in advancing the Sultanate of Oman's financial landscape, the Bank continues to build on its market-leading position by delivering innovative financing and advisory solutions. These include corporate and project finance, debt restructuring, public offerings, equity-linked instruments, private placements, and mergers and acquisitions.

ONA