Abu Dhabi – Mubasher: S&P Global Ratings affirmed its "AA/A-1+" long- and short-term local and foreign currency issuer credit ratings on International Petroleum Investment Co (IPIC) and Mubadala Development Company, with a “Stable” outlook, according to a statement.

“The combined entity will be seen as more strategically important  to the government, providing greater economic value than as two distinctly separate entities,” S&P added.

The ratings affirm S&P’s view that there is a likelihood of Abu Dhabi providing support to Mubadala in the event of financial distress, even after the creation of the new entity Mubadala Investment Co (MIC) following the merger of Mubadala with IPIC.

The entity’s new board comprises senior government representation under the chairmanship of Sheikh Mohammed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and chairman of the Executive Council, with combined assets of $122 billion.