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S&P UPGRADES RATING

Al Mubarak ...creating long-term value

Aldar Properties refinances $499m debt

ABU DHABI, August 17, 2016

Abu Dhabi-based Aldar Properties, a leading developer in the Mena region, has successfully refinanced Dh1.8 billion ($499 million) of existing bank loans due to mature by 2018.

The conclusion of the bank loan refinancing reinforces the strength of Aldar’s balance sheet with the average debt maturity now extending to four years.

Separately, Aldar’s long and short-term corporate credit ratings have been upgraded by S&P Global Ratings to BBB/A-2 with a stable outlook.

The interest only loans were agreed with three local and international banks over five, seven and ten year maturities. Aldar’s ability to secure interest only bank loans with maturities of up to 10 years at highly competitive commercial terms underlines Aldar’s robust performance, clear strategy and future prospects.

Further reflecting Aldar’s continued financial strength, S&P Global Ratings upgraded its long-term and short-term corporate credit ratings by one notch from BBB-/A-3 to BBB/A-2.  The ratings firm noted that Aldar’s operating performance is improving, on the back of steady recurring income from its rental portfolio, which has strengthened its financial and business risk profile.

Aldar’s credit rating was previously upgraded to investment grade (BBB-/A-3) by S&P in December 2014.

 “This ratings action is another acknowledgement of our financial strength and the success we have enjoyed in building a mature and sustainable business,” said Mohamed Khalifa Al Mubarak, CEO of Aldar Properties.

“With a strong capital structure in place we remain well positioned, with a clear strategy that is focused on creating long-term value for our shareholders,” he added. – TradeArabia News Service




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