Trowers & Hamlins is pleased to announce it has successfully assisted its esteemed client, Bank Nizwa, the leading and most trusted Islamic bank in the Sultanate of Oman, in the bank’s inaugural Sukuk issuance of OMR 50 million.
This landmark transaction represents a significant milestone for the bank, the Islamic banking sector, and the GCC region. The strategic issuance positions Bank Nizwa for further growth and development, and is notable for being the first mandatorily convertible Sukuk issuance programme with no cash redemption features in the GCC. It is also the first Sukuk to be issued under the new Issuance of Bonds and Sukuk Regulation.
Trowers & Hamlins has been a trusted advisor to Bank Nizwa since its inception, providing counsel to the sponsors that led to its incorporation as the first full-fledged Islamic bank in the Sultanate. Following its longstanding partnership with Bank Nizwa, the firm is honoured to have been given the opportunity to contribute to the success of this significant transaction.
“Our debut AT1 Mudaraba Sukuk programme of OMR 50 million, with series 1 of OMR 9.99 million issuance, represents a significant milestone not only for Bank Nizwa, but also for the Sultanate’s financial sector and the GCC region," said Mr. Khalid Al Kayed, Chief Executive Officer, Bank Nizwa. "This innovative, mandatorily convertible Sukuk is the first of its kind, underscoring our commitment to pioneering financial solutions that support sustainable growth. It offers substantial benefits to both investors and the bank, enabling us to achieve robust returns for our shareholders, while contributing to the broader economic development of the nation.”
The Bank Nizwa team was led by Mr. Salman Kabani, Head of Enterprise Risk Management and Strategy at Bank Nizwa. The Trowers & Hamlins team worked diligently alongside the Bank Nizwa team at every stage to ensure the successful completion of this complex transaction.
This is the sixth debut Sukuk representation by the Trowers Islamic Finance team in Oman in recent years. Other debut Sukuk offerings include the debut Sukuk issuances by Meethaq, Ominvest, Golden Group, Tilal, and Takaful Oman. In the same period, the team has also advised on numerous other capital markets transactions by well-known issuers and obligors in the Oman market.
This transaction is a further example of the Trowers Islamic finance team's experience in the GCC market and underscores our Islamic capital markets expertise. The Trowers team was led by head of Islamic Finance and Partner Salman Ahmed, Senior Associate Phoebe Lim, and Associates Maximilian Spies-Majewski and Kasab Vora.
The team also included Corporate and Commercial Partner Benjamin O'Brien-McQueenie and Corporate Associates Arslaan Mahmood and Aida Al Jahdhami, Projects, Energy and Infrastructure Associate Reem Al Mahrizi and Disputes Resolution and Litigation Partner Raya Al Harthy.
