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Thursday, 8 July 2010

Dubai Int'l Capital proposes new plan for Almatis | Reuters


Bankrupt German aluminum maker Almatis BV is considering a new refinancing proposal from its owner Dubai International Capital LLC, but senior debtholders urged the judge to stick to the original reorganization plan.

In a letter dated Wednesday to Judge Martin Glenn, who is overseeing the case, the company's attorney's said they received a proposal from Dubai International Capital, or DIC [DUBAHP.UL], that would pay off the company's senior debt in full. Junior creditors would receive a greater recovery than under the company's current plan, according to the letter.

"Unlike prior proposals received from DIC, the alternative plan proposal comes with evidence, which the debtors are currently evaluating, of financing necessary for its implementation," the letter said.

Dubai Holding rolls on with another debt restructuring | Beyond Brics | FT.com


So this is how they roll in Dubai.

Just a week ago, Moody’s cut the rating of Dubai Holding Commercial Operations Group, the non-financial arm of a conglomerate owned by the ruler, to B2. Dubai Holding’s CEO Ahmad Bin Byat defiantly detracted attention from this fact by striking a bullish note in DHCOG’s annual report.

Luckily, DHCOG has won agreement for a two-month rollover of a $555m club loan owed to RBS, Citi and Standard Chartered. The agreement will give the real estate, hospitality and business parks operator, time to present banks with a detailed business plan that will give the lenders an idea on how they can term out the debt.

Dubai Shares Rise to Highest This Month as IMF Lifts Outlook - BusinessWeek


Dubai shares increased to the highest level this month, leading gains in Gulf markets, as the International Monetary Fund raised its global growth forecast, oil gained and Drake & Scull International won a contract.

Dubai’s DFM General Index climbed 1.2 percent to 1,499.81, the highest since June 28, bringing the gain for the week to 2 percent. Drake & Scull increased a fourth time this week. Emaar Properties PJSC, developer of the world’s tallest tower, jumped 3.2 percent, pushing Dubai’s real-estate index to the highest this month. The Bloomberg GCC 200 Index added 0.3 percent.

An improved global outlook helped boost investor sentiment, said Saud Masud, a Dubai-based analyst at UBS AG. “Local markets are still searching for a catalyst.”

Dubai Holding unit lenders extend credit, UAE Conglomerates, Industry - Maktoob Business


Indebted Dubai Holding's main unit said on Thursday that its lenders had agreed to extend a $555 million revolving credit facility for two months.

The extension, granted on commercial terms, comes after Dubai Holdings Commercial Operations Group (DHCOG) reported a $6.2 billion 2009 loss in June.

DHCOG is a unit of Dubai Holding, the conglomerate owned by the emirate's ruler that belongs to the matrix of firms commonly known as Dubai Inc., which was badly battered by the financial crisis and remains in negotiations with creditors.

Dubai Holding unit lenders extend credit, UAE Conglomerates, Industry - Maktoob Business


Indebted Dubai Holding's main unit said on Thursday that its lenders had agreed to extend a $555 million revolving credit facility for two months.

The extension, granted on commercial terms, comes after Dubai Holdings Commercial Operations Group (DHCOG) reported a $6.2 billion 2009 loss in June.

DHCOG is a unit of Dubai Holding, the conglomerate owned by the emirate's ruler that belongs to the matrix of firms commonly known as Dubai Inc., which was badly battered by the financial crisis and remains in negotiations with creditors.

Sainsbury's shares rise 5pc on Qatari bid speculation - Telegraph


In 2007 the QIA-backed Delta Two investment fund launched a £10.6bn, 600p-a-share, indicative bid for Sainsbury's. The deal came to nothing after a drawn-out tussle and a war of words with members of the Sainsbury family.

However, the QIA has retained its stake in the supermarket and analysts have noted that it has recently started buying Sainsbury's shares again. It was reported that Credit Suisse, the investment bank, is among a team of advisers working on a deal that could happen over the summer.

QIA has recently been on a buying spree in the UK. In the spring Qatar Holdings, the investment arm of QIA, bought London department store Harrods for about £1.5bn. It has also bought the US Embassy building in Mayfair for £440m, among other buildings.

Banks look for direction - The National Newspaper


The bulk of bank write-downs linked to Dubai World may not happen before September, once lenders have received new guidelines from the Central Bank, analysts say.

Officials of the regulator are expected to issue guidance to banks about how to provision for the conglomerate’s restructuring process after a final agreement is reached between Dubai World and its 97 creditors.

Provisioning for exposure to Dubai World is not expected to show up significantly in the earnings of banks for the second quarter.

Essdar Offers to Buy Blue City Notes at a Discount (Update1) - BusinessWeek


Essdar Investments Ltd., a fund backed by Abu Dhabi’s ruling family, offered to buy notes sold by Oman’s stalled Blue City development at a discount.

Essdar will pay 20 percent of face value for class B1 and class C securities in an offer that closes July 21, the company said in an e-mailed statement today. Holders will get a 1 percentage-point bonus if they sell the junior-ranked notes before July 16.

There are $143 million of Class B1 notes outstanding and $50 million of the Class C securities, according to the statement. The bonds were issued in 2006 and mature in 2016.

Saudi Stocks Fall on Economic Concern; Fitaihi, Gypsum Drop After Earnings - Bloomberg


Saudi Arabia shares fell the most in more than a week as concern economic growth is faltering pushed global stocks lower and after Fitaihi Holding Group and National Gypsum Co. posted lower quarterly earnings.

The kingdom’s Tadawul All Share Index retreated 1.1 percent, the most since June 29, to 6,056.41, led by Saudi Basic Industries Corp., the world’s largest petrochemical company. The benchmark rose 1.6 percent yesterday. Fitaihi and National Gypsum Co. slid the most in more than a month. The Bloomberg GCC 200 Index of Gulf equities fell 0.5 percent and Dubai’s DFM General Index lost 0.9 percent.

The U.S. Institute for Supply Management’s index of non- manufacturing businesses in June fell more than expected to a four-month low from May, according to data published yesterday. Global stocks fell, with the MSCI World Index of developed nations retreating 0.3 percent as of 4:45 p.m. in Dubai.