QSE Acting CEO Abdulaziz Al Emadi, Beema Vice Chairman Khalifa Turki Al Subaey and other officials of Beema and the Qatar Stock Exchange mark the first day of trading.
Doha: Having been in the global spotlight for hosting a spectacular sporting event Qatar now has set sight on its Stock Exchange which market analysts believe will attract more leading local and global companies to the highly lucrative market this year following the first direct listing by Damaan Islamic Insurance Company ‘Beema’ in the Qatar Stock Exchange (QSE) yesterday.
‘Beema’s entry into the Qatar Stock Exchange (QSE) is a significant move that sets a precedent for many local and international companies to list on a leading stock exchange in the world. We are proud of the decision by ‘Beema’ which shows the resilience of the Qatar Stock Exchange and its strength to withstand any situation, said QSE Acting CEO Abdulaziz Al Emadi.
He said with Beema’s listing there would be many entities that will be going public this year which would be a very successful year following the success of the FIFA World Cup that placed the country on top of the world map not only for sports but also for trade and investments.
The shares of Damaan Islamic Insurance Company ‘Beema’ commenced trading on Qatar Stock Exchange (QSE’s) main market yesterday after obtaining regulatory approvals of the Qatar Financial Market Authority, its regulator the Qatar Central Bank and the Qatar Stock Exchange to list its shares on the Main Market of the Qatar Stock Exchange (“QSE MM”) in accordance with the direct listing mechanism. Following the listing of Beema, the number of listed companies on QSE’s main market is said to increase to 49. Damaan Islamic Insurance Company ‘Beema’ established in 2009 by its five founding shareholders,Qatar Islamic Bank QPSC,Qatar Insurance Company QPSC, Masraf Al Rayan QPSC, Barwa Real Estate Company QPSC and QInvest LLC (the “Founders”) is one of the leading Islamic insurance providers in Qatar.
The Company offers a wide range of innovative takaful solutions to both retail and institutional clients, directly and through diversified distribution network. In the financial year 2021, the Company’s total gross written contributions (“GWCs”) totaled QAR 368m. The Company’s core business lines are Takaful and Health offerings (which include group medical, group life and group life credit) which represented 59 percent of Beema’s 2021 GWCs, personal insurance (including motor and travel insurance)represented 28 percent,and property and casualty accounted for 13 percent of the 2021 GWCs. Beema operates sunder the hybrid Takaful model, encompassing both the Wakala and Mudaraba approaches. The Company receives a Wakala fee for managing insurance operations and a Mudarib fee for managing policyholders’ investments.
Commenting on the completion of Beema’s direct listing on the QSE, Beema’s Chief Executive Officer, Nasser Al Misnad said: “The listing of Beema on the QSE Main Market demonstrates our continued success, operational excellence, financial sustainability, and ambitions to grow. We are delighted to have worked with Maroon Capital, who have been a trusted partner to Beema in achievingthis important milestone in our company’s corporate journey,” Al Misnad said.
Maroon Capital Advisory LLC was established in 2021, with a mission to support shareholder value creation for corporate clients through innovative strategic and corporate finance advice.
Commenting on the completion of the direct listing of Beema, Maroon Capital’s Chairman, Ahmed Al Moosafri said: “Maroon Capital is delighted to have advised Beema on this landmark transaction.
The listing of Beema’s shares on the Qatar Stock Exchange is an important milestone for Beema, and Maroon Capital looks forward to continuing to play its role in the development of Qatar’s capital markets by supporting Qatari companies in achieving their strategic objectives.”
The listing of Beema’s shares on the Qatar Stock Exchange Main Marketis performed through the direct listing method.
No shares will be offered to the public through a public offer or public subscription period prior to the first day of trading.
In order to comply with the minimum requirements to obtain listing approval, the Founders have sold 25 percent of Beema’s pre-listing share capital to more than 100 new investors.
As of the date of the listing, the Founders maintain in total 75 percent of the total share capital of Beema.
And have committed to a 1 year lock-up period from the first day of trading, during which none of the Founders is permitted to sell any additional shares.
The more than 100 additional investors, owning 25 percent prior to the listing, are permitted to trade any and all of their shares without any lock-up restrictions from the first day of trading.
Investors eligible to trade listed securities on the Qatar Stock Exchange are permitted to trade in Beema shares from the first day of trading and, thereafter, subject to the rules and regulation for trading in shares listed on the Qatar Stock Exchange and subject to availability of shares for purchase.
The listing price was set at QR 4.21per share, representing a premium of QR 3.21per share above the nominal value of QR 1 per share.
The total nominal share capital of Beema is QR 200,000,000,divided into 200,000,000 shares.
The listing price per share results in a market capitalization of Beema of QR 842,000,000 at the listing valuation.
