Oman: BankDhofar proposes merger with Ahlibank

Oman: BankDhofar proposes merger with Ahlibank

Muscat – Oman’s second largest lender BankDhofar has proposed to explore the possibility of a merger with smaller rival Ahlibank.

The board of directors of BankDhofar has submitted a non-binding offer to the board of directors of Ahlibank to explore the possibility of a merger deal between two banks, according to a disclosure filed by BankDhofar to the Muscat Stock Exchange.

‘Any transaction, should it proceed, is subject to obtaining approvals from the relevant regulators and respective boards of directors and shareholders of BankDhofar and Ahlibank. Further announcement will be made if and when appropriate,’ BankDhofar said.

In a separate filing to the Omani bourse, Ahlibank confirmed the receipt of non-binding offer from BankDhofar for the possible merger.

The bank said, ‘Ahlibank is in receipt of a non-binding offer from BankDhofar expressing its desire to explore a possibility of merger between Ahlibank and BankDhofar. The board of directors of Ahlibank will study the offer and any material developments in this regard will be announced in due course.’

BankDhofar’s total assets stood at RO4.317bn as of December 31, 2022. The bank reported a net profit of RO34.17mn for the financial year 2022, recording a growth of 36 per cent compared to RO25.12mn net profit in the