Omani lender attracts $1.77bn bids for IPO

Omani lender Bank Nizwa, the sultanate\'s first Islamic bank, attracted OR681m ($1.77bn) of bids in its initial public offer of shares, 11 times the sum which it was raising, the lead manager for the IPO said on Saturday. The bank will be listed on the Muscat Securities Market on June 12, Oman Arab Bank said. Bank Nizwa raised OR60m by selling 40 percent of its capital. Oman reversed its prohibition on Islamic finance last year and now intends to develop the industry, seeing economic and political benefits. Bank Nizwa is not yet operational and has only a representative office; three branch openings are planned after the IPO. Another Islamic bank under formation, Al Izz International Bank, is expected to conduct an IPO of 40 percent of its OR100m capital by June, the central bank said earlier this year. By / Arabian Business