Dubai Holding pays down debt early
Tecom and Dubai Properties Group owner says next bond payment due 2017
Dubai Holding Commercial Operations Group (DHCOG) has voluntarily prepaid a $4319.3mn loan and accrued interest on an amortising debt facility worth $555mn that was due to expire at the end of next year.
The company, which owns Dubai Properties Group, the Tecom Investments business parks group and the Jumeirah Hospitality Group, said in a statement that since 2011 it had been consistently paying off all of its outstanding bonds as they mature, having paid off a $1.04bn (€750mn) bond in January this year. Its next bond, worth $840mn (£500mn), is not due to mature until February 2017.
On 30 March, DHCOG announced that its debt-to-equity ratio has dropped from 1.04 in 2009 to 0.6 in 2013, or from $4.1bn (AED15.2bn) to $3bn (AED10.9bn) in monetary terms.
It has been helped in this regard by increased earnings, with net profits climbing by 177% last year to $898mn (AED3.3bn).