Takaful Sukuk Offers OMR25 million Sukuk
The Capital Market Authority has approved the main prospectus of Mudharabah Sukuk of Sukuk Takaful LLC in favor of Takaful Oman Insurance SAOG for the offer of perpetual Sukuk Al Mudharabah at OMR25 million and the prospectus of the first issuance of the program for the offering of OMR6 million in private placement at an issue price OMR1.020 comprising OMR1 as nominal value and 20 Baisas issue expenses. The minimum limit of subscription in the first issuance is 100,000 Sukuk to commence on January 17, 2020.
Takaful Sukuk endeavors to offer the Sukuk to enhance capital quality and to finance the general objects of the company. The proceeds will be invested, as per the Mudharabah agreement, to explore investment opportunities for the trust assets taking into consideration the regulatory solvency requirements aliened with the growth plans of the company and profitable opportunities in the market.
Sukuk are effective investment instrument in the Omani market after the issuance of the Sukuk Regulation to provide protection for the stakeholders as well as resilience to attract investment initiatives from issuers as well as local and foreign capital for various investments.
Such initiatives would contribute in expanding investment activities and a method for the companies to adjust their situation and improve their financial positions to be able to accommodate huge projects to contribute in furnishing employment opportunities for the national cadres and adding value to the national economy directly and indirectly.
Sukuk are securities of equal value, issued for a specific term, that represent joint ownership in underlying assets or services or rights or a combination thereof, or assets of specific undertaking or existing investment activity or which will be established from the proceeds of subscription as specified by the prospectus and the agreement in the trust deed issued by special purpose vehicle in favor of the beneficiary and the proceeds used in specific economic project manager by the trustee in favor of the beneficiary.
Sukuk Al Mudharabah are tradable Sukuk issued based on Mudharabah contract on behalf of the Sukuk holders and beneficiary as Mudharib and the proceeds to be distributed as specified in the relevant contract.
