The launch of the "Tanmia Liquidity Fund," valued at $126 million, aims to enhance liquidity on the Muscat Stock Exchange while achieving long-term capital growth for the fund.
The "Tanmia Liquidity Fund " was inaugurated at the Muscat Stock Exchange. The fund, whichhas a value of USD 126 million, is dedicated to enhancing market depth and boosting liquidity onthe exchange while achieving long-term capital growth for the fund. Oman National InvestmentDevelopment Company "Tanmia," a leading investment and fund management company, will actas the investment manager in collaboration with SICO BSC (c), a leading regional asset manager,broker, and investment banking services.
The timing of the fund's launch aligns strategically with the ongoing reforms within the Omanicapital markets, coinciding with announcements of new IPOs, regulations pertaining to marketmaking, and intensified marketing endeavors by MSX through roadshows and other promotionalactivities. In recent months, the MSX has undergone a series of initiatives geared towardsbolstering the local capital markets, and there has been a notable reform in certain capital marketregulations, particularly concerning the dividends tax.
Khalid bin Awadh Al Balushi, CEO of Tanmia, emphasized that this project marks a milestone inTanmia's long journey with its strategic partners to launch “Tanmia Liquidity Fund”, which willexpand the investor base and enhance liquidity in local financial markets. He expressed gratitudeto the Capital Market Authority, the Muscat Stock Exchange, Muscat Clearing and Depository, andthe National Program for Financial Sustainability for their adequate support in realizing the vision ofestablishing the fund. He added, "This fund is an extension of the company's journey - since itsestablishment in 1998 - in launching various investment initiatives and products that achieveinvestment returns and enhance the national economy. We at Tanmia always seek to promote sustainable investments and maximize value for shareholders, in collaboration with variousfinancial institutions and regulatory authorities, to achieve the vision of Oman 2040 in line with thenoble directives of His Majesty Sultan Haitham bin Tarik – may God protect him."
SICO’s Group CEO, Najla M. Al Shirawi, commented, "The launch of “Tanmia liquidity Fund”underscores the joint efforts of SICO and our partners in Oman, backed by the regulatoryauthorities in the Sultanate of Oman. We're grateful to our partners for their confidence in ourabilities and dedication to improving the liquidity for shares of listed companies. Highly liquidfinancial markets are essential in providing tangible advantages to the national economy. A robustand dynamic capital market can significantly increase economic growth and promote a morediversified economy.”
The partnership between SICO and Tanmia aims to emulate the prosperous model of the BahrainLiquidity Fund, SICO's fund on the Bahrain Bourse. Since its inception, this fund has nearly tripledthe market's overall liquidity. Consequently, the index has achieved impressive returns, while listedcompanies have enjoyed enhanced valuation.
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