Moody’s Investors Service affirmed the Baa2 long-term issuer and debt ratings of Abu Dhabi-based Mubadala GE Capital (MGEC), a joint venture between Mubadala Development Company PJSC and General Electric Capital Corporation. This affirmation incorporates Moody’s view on MGEC’s recent announcement that it will sell substantially all its assets and those of its subsidiaries to MidCap Finco. The outlook remains negative.

The affirmation reflects Moody’s view that the $3.6 billion of assets that will be sold by MGEC to MidCap, payable in cash, will be sufficient to repay all of MGEC’s outstanding debt and other liabilities before the company winds down all its activities.

The negative outlook reflects the potential execution risks that will remain until the sale is completed.