Sohar Bank gets nod to buy stakes in Neo Group Saudi

Sohar International Bank has received approval from Oman’s central bank to acquire a majority stake in a Saudi-based financial advisory company as part of its regional expansion strategy.

The agreement paves the way for the lender to enter a non-binding memorandum of understanding with Neo Group UAE to buy a 55 percent stake in Neo Group’s Saudi venture, the bank said in a bourse disclosure on Tuesday. No financial details were given. 

Neo Group Saudi has already been approved by the Capital Market Authority to conduct asset management and financial advisory services.

In April Sohar International announced plans to explore a merger with Oman’s Ahli Bank, which could create a lender with OR11.1 billion ($29 billion) in assets. Last year it completed a merger with HSBC Bank Oman.

Sohar, which is Oman’s second largest lender by assets, has been listed on the Muscat Securities Market since December 2024. 

Its share price was OR0.162 on Wednesday, up around 6 percent year to date.

Further reading:

• Sohar International seeks to enter advisory business in Saudi Arabia
• Takeover raises Oman bank competition concerns
• Sohar International Bank and HSBC Oman to merge