Muscat: The Financial Services Authority has announced two administrative decisions to revoke the licenses of Sharek Investment LLC and New Sphere LLC, both of which were engaged in securities and crowdfunding activities. As a result of these decisions, the companies will be removed from the register of entities authorized to operate in the securities sector.
These administrative actions were taken because the companies did not engage in any activities since their inception, in accordance with Article 123/a of the Executive Regulation of the Capital Market Law, established by decision No. 1/2009. This review was part of an assessment of licenses granted to various companies involved in crowdfunding during 2022, the inaugural year for the crowdfunding market in the Sultanate of Oman, following the introduction of the crowdfunding regulation under decision No. 153/2021.
It is important to highlight that there are currently seven companies licensed to conduct crowdfunding activities; however, only five have actually begun offering funding solutions to emerging businesses, including small and medium enterprises, amounting to a total of RO 8.7 million in funding. Over 140 companies have benefited from these platforms between 2022 and 2024.
