Oman approves HSBC merger with local bank

Central bank says it has given the green light to merger with Oman International Bank
Oman approves HSBC merger with local bank
By Reuters
Sun 25 Mar 2012 07:16 PM

Oman's central bank has approved the planned merger of HSBC Holdings' operations in the tiny Gulf Arab state with local lender Oman International Bank, the central bank said on Sunday.

Both HSBC and OIB said in October last year they were in talks about merging their operations in Oman, without providing details on the structure of the transaction.

"The board has approved, in principle, the merger between Oman International Bank and HSBC Bank Middle East's Oman branches provided the merger does not conflict with local laws," the statement from the central bank said.

Oman opened its doors to Islamic banking and let conventional lenders run sharia-compliant operations in May.

HSBC has had a presence in Oman since 1948. OIB has a market cap of around $700m, according to Reuters data.

For all the latest banking and finance news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.

Subscribe to our Newsletter

Subscribe to Arabian Business' newsletter to receive the latest breaking news and business stories in Dubai,the UAE and the GCC straight to your inbox.