By Gavin Gibbon
Emaar Properties reacts to reports of potential sale of district cooling business to Tabreed
Dubai-based Emaar Properties has revealed it is “exploring various financing options” as part of a strategy to “streamline its business and to generate value”.
The company was responding to news published this week suggesting Emaar was on the verge of selling its district cooling arm to Dubai’s National Central Cooling Company (Tabreed).
In a filing to Dubai Financial Market, Emaar said: “The company will announce details regarding such opportunities as and when they are finalised.”
Emaar Properties moved to deny similar potential sale speculation in May last year.
The company saw its Q3 2019 net profits rise 20 percent despite a slowdown in local property sector.
Net profit rose 20 percent between July and September of 2019 to $362 million (AED 1.1331 billion), compared to $302m (AED1.11bn) during the same period in 2018.
Additionally, revenue grew 14 percent to $1.654bn (AED6.075bn) during the third quarter, compared to $1.456bn (AED5.348bn) during the same period last year.
The reports drew a similar response from Tabreed, whose own statement to the DFM said: “Tabreed is continuously exploring potential acquisition opportunities in the region as part of its overall growth strategy and to generate value for its stakeholders."
With 76 district cooling plants located throughout the region, Tabreed currently delivers over 1.16m refrigeration tons to key developments including iconic infrastructure projects such as Sheikh Zayed Grand Mosque, Dubai Metro, Ferrari World Abu Dhabi, Yas Water Park, Abu Dhabi’s Al Maryah Island, Bahrain Financial Market in the Kingdom of Bahrain and the Jabal Omar Development in Mecca, Saudi Arabia.oil news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.