The Fitch Credit Credit Agency has reduced the Emirates Fund Rit Al-Barrak in Dubai seven degrees, after the company proposed to swap its instruments with new tools.


According to Arab Net on Monday, the rankings from B + to C, which is another degree before defaulting his debts, saying it looks at the proposed debt swap as a tangible decline in credits.


The Emirates Rit presented last week uncommon sukuk, worth $ 400 million, guaranteed instruments for improving the balance sheet of the Islamic Real Estate Investment Fund, which was damaged by the Corona virus last year.


Some instruments are appointed consultants, including Rothschild to oppose the supply items, and enter into negotiations with the company to reach better items.


The company, which draws its profits from its real estate assets, offers a new guaranteed instruments for maturity in 2024, two years later for its current maturity.


Despite maintaining the current interest rate of instruments, the first year's distribution will be delayed under the proposal.


Fitch said if the proposed swap goes forward, it would register the company according to its new capital structure.


The Agency has also estimated that the company should have enough liquidity to cover the distribution of Sukuk in June worth $ 10.2 million, in the case of the voice of the instruments against swap.


In response to Fitch's decision to cut its credit rating, the Emirates Rit said in a statement that he had positive impressions so far from the carriers' institutions and he thought they would vote for the offer.


Deep crisis


In an interview with Arab, the administration has long been confident of many shareholders, amid mutual accusations by manipulating prices,


He pointed out that when the Fund was launched in 2014, the unit's price was $ 1.36. Only occurs if there is a problem.


He also noted that the company depends on real estate, mostly in Dubai, and with the real estate market declined naturally decreased assets, but attempt to evaluate properties at the correct market value, evaluated evaluated in the latest budget with $ 242 million evaluation.

NamaaZone " The Power of Knowledge"