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OQ executes inaugural $750m bond issuance

OQ executes inaugural $750m bond issuance

BUSINESS REPORTER – MUSCAT, april 30 – In efforts to diversify funding sources, OQ — the Sultanate’s integrated global energy group — has announced its inaugural bond issuance in the international debt capital markets. This is a further step towards enhancing OQ’s presence in the international markets and amongst its investors.

On this occasion, Talal al Awfi, OQ’s Group Chief Executive Officer said: “The execution of the bond is a great success for both OQ and Oman. It comes in line with the best global investment practices and aims to meet OQ’s funding requirements. It also emphasises OQ’s presence as a global energy player and the trust we have amongst the global investors.”

Nazar al Lawati, OQ’s Chief Financial Officer, stated: “In line with our financial strategy for 2021, we are very pleased to announce that OQ has successfully executed its inaugural bond issuance in the international debt capital markets, with strong participation from investors and financial institutions from around the world.”

Al Lawati further noted: “Despite overwhelming demand, OQ decided to limit its initial issuance under the newly-established bond programme to $750 million in a 7 years’ bond for general corporate purposes.”

“While diversifying its funding source and improving its debt profile, OQ is also focused on executing its divestment strategy which will seek to privatise certain assets to reduce the organisation’s current leverage levels. I would like to sincerely thank all those who participated in achieving this momentous milestone for the company.”

The Group believes that OQ’s inaugural bond will further enhance Oman’s presence in the international market as one of the main global players in the energy sector through providing investment opportunities for global investors, help to diversify its funding sources and will contribute to the Omani economy.

With operations across 17 countries, OQ’s portfolio covers the entire value chain from exploration and production to marketing and distribution of end-user products.

The Group’s fuels and chemicals are sold in over 60 countries worldwide, making OQ a pioneer in the energy sector.

Source: Oman Observer