The property developer Nakheel once epitomised Dubai’s rise, turning elaborately arranged man-made islands into some of the most sought-after properties in the emirate and launching a bold bid to build the world’s tallest tower.
But as creditors investigate how to respond to parent company Dubai World’s decision last month to delay the December 14 repayment of Nakheel’s $4bn (€2.65bn, £2.4bn) sukuk, or Islamic bond, they are likely to discover that the once high-flying company may have few assets that they can get their hands on.
Nakheel is groaning under an $8bn debt mountain and has been forced to slash projects and staff amid a calamitous real estate crash. The company has referred all questions about its condition to Dubai World, which in turn has declined to comment. Government-owned Dubai World has said it is seeking to restructure $26bn in debt, including Nakheel’s obligations.
No comments:
Post a Comment