Emicool signs $245m refinancing facility with Dubai Islamic Bank
Emirates District Cooling LLC [Emicool] – a leading district cooling service provider in the region, has signed a $245m 12-year facility with Dubai Islamic Bank [DIB], the largest Islamic bank in the UAE, which will largely refinance its existing debt and also fund the company’s expansion plans.
The refinancing agreement was signed by Mr. Abdulaziz Bin Yagub Al Serkal, Chairman of Emicool, and Dr. Adnan Chilwan, CEO of Dubai Islamic Bank, recently in the presence of Mr. Adib Moubadder, CEO of Emicool, and DIB executives.
Mr. Abdulaziz Bin Yagub Al Serkal, said, “The signing of the 12-year refinancing agreement with DIB will go a long way in expanding Emicool’s business and further cement the company’s leadership position as a top-tier district cooling service provider in the region. This reaffirms the success of Emicool’s strategic business model and is testimony to our rising market reputation and underlines the growth potential that we have on offer.” He added, “Emicool has mapped up ambitious growth plans and continued expansion of its production capacity. As the demand for district cooling grows across the region, it has become imperative for Emicool to optimize production capacity and further enhance its technological capabilities to meet market requirements efficiently.”
Commenting on the agreement, Dr. Adnan Chilwan, CEO of Dubai Islamic Bank, said, “Clearly the region, and in particular, UAE is witnessing renewed economic momentum with infrastructure development attracting local and international investors. In our view, primary infrastructure development projects are the cornerstone of sustainable growth, a key element of the strategy of the country. DIB has always played a pivotal role in leading and facilitating such transactions and is linked to many landmark deals with some of the top corporates across the country. Emicool’s business model and their long-term strategic vision, ties in well with DIB’s own growth plans, and further solidifies our position as a bank of choice in this sector.”
Mr. Adib Moubadder, said, “Emicool has proven its capabilities as a leader in the district cooling industry over the years. We provide continuous chilled water cooling services to over 15,000 customers, with the most efficient and highest quality service to support the growth of Dubai’s infrastructure with sustainable development and innovative technologies. This refinancing will help us further expand our operations geographic reach and technological excellence in the UAE, and other parts of the region.” “There is a huge potential for growth in the district cooling industry, and as one of the major players, we are looking at investing in infrastructure, which will assist to offer quality products to capture a significant share of the market,” added Mr. Moubadder.
Mr. Naveed Ali, Chief of Corporate Banking at Dubai Islamic Bank, said, “We are pleased to support Emicool for this refinancing arrangement and partnering with them in their growth ambitions. Over the past year we have been able to leverage our substantial experience in arranging complex financing deals, while maintaining a strong focus on managing risks, to expand our portfolio. Emicool is another important partner in this regard, and we believe that they have the leadership and right strategy in place to carry out their expansion plans.”
Emicool with its proven successful track record is currently offering district cooling services in strategic locations such as Dubai Investments Park, Dubai Motor City, Dubai Sports City, Uptown Mirdiff and Palazzo Versace and D1 Tower at Al Jaddaf with installed capacity of 330,000 tonnes of refrigerant. Emicool’s roadmap in the coming years includes expansion of operations to Saudi Arabia and Qatar.
Emicool is a joint venture of Dubai Investments PJSC – the leading investments company listed on the Dubai Financial Market, and Union Properties PJSC, a leading property investment developer in the UAE.