Acquisition and stake sale drive Tabreed’s net profit
Group-wide revenues at the district cooling company totalled Dh1.09b
Dubai: Gains from the acquisition of another district cooling entity helped Tabreed record a 10 per cent net profit growth to Dh319.3 million for the period from January to end of September.
Tabreed acquired S & T Cool, which provides district cooling services at Abu Dhabi’s Reem Island, in March last.
The company also notched gains from the sale of a 5 per cent stake in Saudi Tabreed in May.
Group revenues were up 4 per cent to Dh1.09 billion.
In a statement, Khaled Abdulla Al Qubaisi, Tabreed’s chairman, said: “We saw stable growth in our connected capacity, adding over 29,000 of new customer connections in the first nine months. Additionally, in Q3 we received new investment grade ratings from Moody’s and Fitch, which is a strong endorsement of Tabreed’s strong utility business model.”
Last month, Tabreed issued a $500 million (Dh1.8 billion) fixed-rate senior unsecured dollar denominated sukuk with a seven-year tenor. The issue was 50 per cent oversubscribed and saw institutional demand, both locally and from Asia and Europe. The sukuk had a profit rate of 5.5 per cent.