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AMJ’s Corporate and Capital Markets team recently acted for the Prysmian Group/Draka Holdings on its acquisition of approximately 16% additional shares in OCI, increasing the existing stake held by its fully-owned subsidiary, Draka Holdings BV to just over 51%. The US$110 million deal gives the Prysmian Group, a world leader in the energy and telecom cables and systems industry, a majority stake in one of Oman’s leading public companies.

At a press conference in December, Prysmian’s chief strategy officer and chairman of OCI, cited confidence in Oman’s relatively advanced corporate legal regime, stable platform for business development and foreign investment-friendly policies as a key factor behind the decision to increase Draka’s investment in OCI as well as OCI’s position as a leading cable manufacturer in Oman and the GCC.

Mansoor Malik, AMJ’s lead partner on the deal, commented “We are pleased with the successful conclusion of this deal which posed a number of complex and novel legal issues.” As the transaction was a rare ‘private acquisition in public equity’, AMJ was required to lead discussions in order to obtain the key approvals from the CMA, Oman’s capital market regulator, and the MSM, Oman’s stock exchange, In particular, CMA approval was required to except the transaction from the prohibition under Article 7(b) of the Capital Market Law Article against one or more closely related persons from owning 25% or more shares in a public joint stock company.

Malik was assisted by Corporate and Capital Markets partner, Ardeshir Patel.