Moody’s ups Aldar, certificates to Baa3

Moody's Investors Service said it upgraded the ratings of Aldar Properties PJSC to Baa3 from Ba1.

Concurrently, the agency upgraded the rating of the $750 million trust certificates due in 2018 and issued by Sukuk Funding (No. 3) Ltd. to Baa3 from Ba2.

The outlooks are stable.

"We have upgraded Aldar's ratings to reflect its success in reducing financial leverage, lessening development risk and increasing recurring rental income, following the opening of Yas Mall and other investment properties," Moody's vice president, senior credit officer Martin Kohlhase said in a news release.

"Recurring income from investment properties tends to be low risk, stable and allows better visibility in terms of future earnings."

As part of this rating action, Moody's converted Aldar's corporate family rating into a Baa3 senior unsecured issuer rating, in line with the rating agency's policy for issuers migrating from non-investment grade to investment grade.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.