Dubai Investments Park Dev Co. gets BB rating
Standard & Poor's says firm has a 'stable outlook'
Dubai Investments Park Development Company LLC (DIPDC), a wholly‐owned subsidiary of Dubai Investments PJSC – the largest investment company listed on the Dubai Financial Market – has been assigned a long‐term corporate credit rating of ‘BB’ by Standard & Poor’s Ratings Services (S&P) with a stable outlook.
The rating on DIP reflects S&P’s overall assessment of DIP and Dubai Investments PJSC.
Alpen Capital (ME) Limited and Nomura International plc acted as the Rating Advisors to
Dubai Investments Park is a unique, self‐contained mixed‐use industrial, commercial and residential complex operated by DIPDC.
Spread across an area of 23 sq km, it is a city within a city offering infrastructure and facilities and services.
Khalid Kalban, chairman of DIPDC and MD & CEO of Dubai Investments PJSC, said: “We are pleased with the outcome and appreciate the diligence and hard work put in by S&P in the rating process with DIPDC. As a benchmark rating, this positions us well to take advantage of favourable market conditions, with a view to enhance our overall shareholder value.”
This S&P stable outlook is based on its expectations of growing earnings from the company’s property rental portfolio with long‐term leases.
The ratings report highlighted the key strengths of DIP, especially its strategic location and high occupancy across industrial and warehouse spaces. The report also assessed the significant restructuring initiated by DI on its construction‐related operations over the last three years.
The rating also took into consideration the company’s liquidity status and access to unused short‐term bank revolving credit facilities.