Omani insurer Al Madina Insurance Company is planning to float an initial public offering (IPO) in the fourth quarter of this year in an attempt to change its status to a Shari’ah-compliant Takaful firm.
The draft Omani Takaful regulation requires insurers to be public companies to function as Takaful providers. Abdlrehman Awadh Barham, chief executive officer of Al Madina Real Estate, a member firm of Al Madina group, told Times of Oman that the company's board has recently approved a proposal to float an issue.
He said the promoters will divest 40 per cent of their holding in the company. Al Madina Insurance has a capital base of OMR 10 million.
Barham said that Al Madina has received an 'in principle' approval from the Capital Market Authority for converting its status into an Islamic insurance firm and a final approval will be given only after the company lists its shares on the Muscat Securities Market (MSM).