Today's Edition
ABU DHABI (ALETIHAD)
Burjeel Holdings has received first-time corporate credit ratings from S&P Global Ratings and Moody’s Ratings and established a $1.5 billion Senior Unsecured Sukuk Programme.
The Abu Dhabi Securities Exchange-listed healthcare services provider said S&P assigned it a “BB+” issuer credit rating with a stable outlook, while Moody’s assigned it a Ba2 corporate family rating with a stable outlook.
The Sukuk Programme has been established through Burjeel Sukuk Limited, a special purpose vehicle, and has been admitted to the London Stock Exchange’s International Securities Market, the company said in a press release. A Senior Unsecured Sukuk Programme is a Shariah-compliant debt-issuance platform that allows a company to raise funds through Sukuk that rank ahead of subordinated debt but are not backed by specific collateral.
Burjeel said the programme provides a flexible Shariah-compliant platform to access debt capital markets and supports its strategy to diversify funding sources, strengthen its long-term capital structure and pursue investments in advanced clinical care, research, medical education, digital transformation and AI-enabled healthcare innovation.
The company said the assignment of ratings marks an important milestone and reflects its business profile, disciplined financial policy, corporate governance, and commitment to transparency.
S&P’s rating reflects Burjeel’s position as one of the largest healthcare services providers in the UAE, the defensive nature of the healthcare sector, the group’s disciplined financial policy and expectations that leverage will remain consistent with the rating level while EBITDA margins recover, supported by the ramp-up of growth assets and increasing patient yield, the statement said.
Moody’s rating reflects Burjeel’s strong market position in Abu Dhabi, its expanding presence across the UAE, Saudi Arabia, and Oman, good profitability across the Burjeel Hospital brand, the growing contribution from its complex care and super-specialty division, solid credit metrics and an improving liquidity profile, the statement said.
Dr Shamsheer Vayalil, Chairman and CEO of Burjeel Holdings, said receiving first-time ratings from two of the world’s leading credit rating agencies is an important milestone for the company.
“The establishment of our Sukuk Programme further enhances our financial flexibility and supports our strategy to diversify funding sources while maintaining prudent leverage and strong liquidity,” he said.
“We are building a healthcare platform for the future, one that integrates exceptional patient care with research, education, and artificial intelligence. This milestone strengthens our ability to pursue that vision while maintaining financial discipline,” Dr Vayalil said.
Burjeel said it continues to benefit from favourable long-term healthcare fundamentals in the UAE and the wider GCC, including demographic growth, mandatory health insurance coverage, increasing demand for specialised care and the region’s development as a medical tourism hub.
In connection with the Sukuk Programme, Burjeel Holdings has initiated a series of fixed income investor meetings with regional and international investors in relation to a potential inaugural Regulation S dollar benchmark five-year senior unsecured Sukuk offering.
The company said any such offering, if undertaken, would be subject to market conditions, applicable regulatory requirements and the publication of the relevant offering documents.
