Talks End on Planned Merger to Create $16 Billion Omani Lenderby
Talks ended after the banks were unable to reach an agreement on “certain key issues relating to the proposed merger,” Bank Dhofar said in a statement to the Muscat stock exchange today, without giving further details. The lender, based in the south of the country, said that it’s in the best interests of shareholders to discontinue talks.
The decision to walk away from the merger comes four months after the banks agreed terms of the share-swap ratio for the deal. Each Bank Dhofar share would have been exchanged for 1.29 shares of Bank Sohar, Bank Sohar said in in June. The combination would have created Oman’s second-largest bank after Bank Muscat, which has assets of $34 billion.