UAE's Aldar Investment Properties LLC has received a Baa1 rating by American credit rating agency Moody's Investors Service.
The organization also issued Aldar Investments Hybrid Limited's proposed $500 million subordinated perpetual notes a Baa3 rating.
Lahlou Meksaoui, vice president at Moody’s, said: “The proposed hybrid will support Aldar Investment Properties LLC's strategy to grow its investment property portfolio while diversifying funding sources and maintaining prudent financial policies."
He added, “It demonstrates its good access to capital with Apollo Global Management as a strategic partnership."
The Baa3 rating assigned to the hybrid is two notches below AIP’s Baa1 issuer rating. The hybrid will be subordinated to AIP's payments obligations and rank senior only to common shares.
Baa3 rating is the lowest rating of investment grade Moody's Long-term Corporate Obligation Rating. These are subject to moderate credit risk. They are considered medium-grade, possessing certain speculative characteristics.
