Dubai PR Network, Online Press Release from Dubai and Middle East
 
Money, Business & Investments(Banking & Investments)
Filter PR by
  
Tabreed Raises USD 500 million With New 7 Year Sukuk
 

Also arranges new bank facilities of AED 1.5bn 

30 October, 2018 – Abu Dhabi, United Arab Emirates: National Central Cooling Company PJSC (DFM: Tabreed), the leading UAE-based regional district cooling utility company, today announces it has successfully raised US$500 million (AED 1.8 billion) with a fixed rate senior unsecured US dollar denominated RegS sukuk with a 7 year tenor. The issue follows a series of fixed income investor meetings which took place in Europe and Asia, as well as in the United Arab Emirates.

The new sukuk, which will be listed on the London Stock Exchange, had strong institutional demand both locally and in Asia and Europe, which enabled the issue to be oversubscribed by 50%. The sukuk was competitively priced, with a profit rate of 5.5%, underpinned by Moody’s Baa3 and Fitch’s BBB credit ratings, which were announced last week. These ratings are the first to be assigned to Tabreed by Moody’s and Fitch, and have also been assigned to the sukuk itself.

The ratings agencies noted Tabreed’s robust and sustainable business model, the long term nature of its customer contracts and the consequent strength and resilience of its cashflows in attributing their ratings. The company’s strong competitive position in the growing GCC market was also referenced, as well as its low risk profile and supportive shareholder base.

In addition to the new sukuk, Tabreed has arranged new bank facilities up to AED 1.5 billion. Together with the proceeds from the new sukuk, these will be used to refinance AED 2.8 billion of current corporate debt. The refinancing of this debt will deliver a number of benefits, including improved balance sheet efficiency and a longer debt maturity. These in turn will further improve Tabreed’s cashflow, providing fresh impetus for the company’s expansion into both existing and new markets. 

Khaled Abdulla Al Qubaisi, Tabreed’s Chairman, commented: “We are very pleased that Tabreed has been rated as Investment Grade by Moody’s and Fitch. We see this as a testament to the financial strength, robust business model, and strong position we have in the UAE and across the GCC. This new sukuk, which was well received by the market, further strengthens our balance sheet and reinforces our robust financial position and leaves us well placed for further growth.”

Jasim Husain Thabet, Tabreed’s Chief Executive Officer, commented: “We are delighted  with the market’s positive response to our sukuk, and with the recognition Tabreed continues to gain as a safe and high-quality investment. This successful issuance leaves us in a stronger position to leverage growth, with even greater capital and operational efficiency.”

Tabreed is a partner of choice for organizations across the GCC in providing environmentally friendly district cooling solutions that support the region’s energy sustainability. With 72 district cooling plants located throughout the region, Tabreed currently delivers over 1 million refrigeration tons to key developments in the region including iconic infrastructure projects such as Abu Dhabi’s Al Maryah Island, Yas Island, Sheikh Zayed Grand Mosque, Dubai Metro, Dubai Parks and Resorts, and the Jabal Omar Development in the Holy City of Mecca, Kingdom of Saudi Arabia.


Posted by : Dubai PR Network Editorial Team
Viewed 6228 times
PR Category : Banking & Investments
Posted on : Tuesday, October 30, 2018  10:23:00 AM UAE local time (GMT+4)
Replication or redistribution in whole or in part is expressly prohibited without the prior written consent of DubaiPRNetwork.com.
Previous Story : Unilever MENA calls for collective action as it's revealed t...
Next Story : National Bonds launches savings drive to celebrate World Sav...
Email this article Print this article

Share this article with your friends and followers
NewsVine
Back to Section Home

Related Stories



 
 
Most Viewed Press Release posted in the last 7 days
Sukin's Purely Ageless, Skincare that Delivers Results [11316-Views]
Michael Kors Unveils Spring 2019 Michael Kors Collection Ad Campaign [11096-Views]
Flaunt your gravity-defying hairstyles to become the face of our brand [9065-Views]
Linda Meredith Luxury Skincare Now at Coya Spa, Mirdif [8784-Views]
City of gold celebrates the joy of new year with amazing wins this Dubai Shopping Festival [7979-Views]
Start 2019 in Style with Amazing Offers at VK Beauty Lounge & Bar [7710-Views]
Facial Peels – What Are They? [7399-Views]
Ode to a Golden Era: The Exquisite Retro Style Manero Flyback [7369-Views]
St. Valentine's Day [7247-Views]
Sony Unveils Newest Products and Introduces Latest Efforts from Entertainment Businesses ... [7064-Views]
New Lamborghini Huracán EVO: elevation of technologies for amplified driving pleasure [6564-Views]
Start the Year with some TLC and enjoy the fantastic offers at The SPA at Steigenberger Ho... [6527-Views]
Morison Menon strategically integrates with Kreston International and rebrands itself as ... [6472-Views]
Corum Heritage Eleganza- A luxury feminine piece [6417-Views]
Hask's Winter Care for Your Hair [6411-Views]
Celebrate Valentine's Day with GUESS [6368-Views]
Rolls-Royce Motor Cars Achieves Historic Business Record [6070-Views]
Tissot Chemin des Tourelles [5966-Views]
Trend Alert: Stay Timeless and Classy With a D1 Milano Timepiece [5923-Views]
Nokia 8 Sirocco blends premium craftsmanship and latest innovation with Android™ 9 Pie upg... [5880-Views]
Gharib Lands Al Shira'aa Double As One-Star Event Comes To A Close [5874-Views]
With consumers spending more than 50% of data on digital entertainment and media smartphon... [5801-Views]
Malabar Gold & Diamonds' new showroom in Karnataka, India [5661-Views]
This DSF, every INFINITI customer wins it big with Arabian Automobiles [5441-Views]
LG Electronics' Promise of AI for an even Better Life Delivered at CES 2019 Keynote [5405-Views]
 
RSS Facebook Twitter LinkedDin
 
Top Sections
 
Top Stories