Dubai’s debt-laden private equity group faces closure - Times Online

Dubai’s ambitious attempts to build an overseas investment empire to rival Europe’s biggest private equity firms could soon come to an embarrassing end.

Dubai International Capital (DIC), the international investment arm of the Dubai government that once tried to buy Liverpool football club, could be forced to wind itself up.

DIC has debts of $2.5 billion (£1.7 billion). A $1.2 billion loan is due this month but the fund has asked creditors to approve a three-month extension. Its lenders, which include HSBC, are expected to push for the fund to sell its assets to raise the money. The banks have appointed Deloitte, the accountancy firm, to advise on their options. DIC owns several big companies in Britain, including Travelodge, the budget hotel chain, and Doncasters, the engineering firm.