By Andy Sambidge
District cooling firm says financing will largely fund growth and refinance existing debt
The joint venture district cooling firm of Dubai Investments and Union Properties, said on Sunday it has agreed a $245 million loan deal to help fund its expansion plans.
Emirates District Cooling, also known as Emicool, said it has signed the 12-year facility with Dubai Islamic Bank, which will largely refinance its existing debt and also fund the company's expansion plans.
The refinancing agreement was signed by Abdulaziz Bin Yagub Al Serkal, chairman of Emicool, and Dr Adnan Chilwan, CEO of Dubai Islamic Bank.
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."
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 optimise production capacity and further enhance its technological capabilities to meet market requirements efficiently."
Emicool is currently offering district cooling services in 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.