The Abu Dhabi leasing company, Oasis International Leasing, is to allow foreign ownership of up to 49 percent of its shares. The decision means Oasis becomes the second United Arab Emirates (UAE) public joint-stock company to allow international ownership of shares, after Dubai-based property and bank group Emaar.
The change in Oasis's Articles of Association was passed unanimously by shareholders at a recent Extraordinary General Meeting (EGM) in Abu Dhabi. “This is a significant step in the development of the company. Widening the shareholder base will help meet the considerable investor interest in Oasis,” said Gordon Dixon, Oasis Chief Executive Officer (CEO).
“We have not made any secret of our intention to grow the company and to increase the capital base to sustain that growth. The ability to offer shares to international investors will enable us, for the first time, to tap regional and global investors,” he added.
The change in the Articles of Association also allows individual shareholders to own more than five percent of the company. Dixon believes this will encourage institutional investors to increase their holding.
“Oasis has been and continues to be a successful venture for Abu Dhabi and the UAE. The returns to shareholders for this young company have been attractive and the cyclical nature of the leasing industry means there are many opportunities for us to grow and diversify our asset classes and to continue to generate attractive shareholder returns,” said Dixon.
Oasis aims to build its asset and risk profile from its current $472 million value to $1.5 billion with targeted moves into shipping, infrastructure and power plant financing. Oasis's asset portfolio includes 12 aircraft on long-term lease to major regional and international flag carriers and a 50 percent stake in a capesize bulk carrier ship, acquired last year. The 172,000-ton Japanese built vessel is capable of carrying a variety of dry cargoes, including iron ore, coal and grain.
Oasis International Leasing Company PJSC was formed in May 1997. Its principal business is to identify, structure, manage and invest in high value leasing transactions. The objective is to deliver sustainable shareholder investment returns.
The original Oasis concept, aimed at promoting the creation of new financial services clusters in the UAE economy, was developed by the Offsets Department of the UAE Government. In addition to establishing an international leasing company, Oasis also seeks to promote leasing in the UAE and to provide a catalyst for the expansion of the financial services sector.
Oasis's shareholder base includes equity participants from Abu Dhabi Investment Company, BAe Systems and the Gulf Investment Corporation as well as insurance and investment companies. — (menareport.com)
© 2002 Mena Report (www.menareport.com)
