State-owned Energy Development Oman (EDO)'s $750 million sukuk was more than four times oversubscribed, marking strong investor confidence.

EDO's second sukuk issuance was priced at a profit rate of 5.662% with a term of seven years.

Investor participation was widespread, with over 115 orders from Europe, the UK, the US, the Middle East, and Asia.

"Our latest sukuk deal is at a significantly lower profit rate, representing savings for EDO and the country,” EDO’s Chief Financial Officer, Sultan Al Mamari said,

EDO is the largest oil and gas producer in Oman, accounting for 60% of combined oil, NAG condensate and NAG production.

S&P and Fitch have assigned a BB+ rating to the senior unsecured Sukuk Al Ijara/Murabaha, which has been priced with a spread of 1.35% over US Treasuries.

EDO has mandated Abu Dhabi Commercial Bank PJSC, Bank Muscat SAOG, Citigroup Global Markets Limited, Dubai Islamic Bank PJSC, Emirates NBD Bank PJSC, HSBC Bank plc, J.P. Morgan Securities plc, Mashreqbank psc, and Standard Chartered Bank as co-lead managers and bookrunners for the issuance.

(Writing by Seban Scaria seban.scaria@lseg.com; editing by Daniel Luiz)