Dubai Shares Decline Most in a Month on Debt Restructuring Report, Europe - Bloomberg

Dubai’s shares fell the most in more than a month after a report that the emirate may restructure some bonds sold by state-owned companies next year and on concern Europe’s crisis may spread.

Emaar Properties PJSC (EMAAR), the developer of the world’s tallest skyscraper, slumped 3.6 percent. Dubai Islamic Bank PJSC (DIB) declined the most since Nov. 1. Dubai’s DFM General Index (DFMGI) dropped 1.2 percent, the most since Nov. 1, to 1,382.92 at the 2 p.m. close in the emirate. The Bloomberg GCC 200 Index (BGCC200) decreased 0.4 percent at 1:44 p.m. in Riyadh.

Dubai may issue the bonds to help meet $3.8 billion in payments, the Financial Times reported, citing a senior government official it didn’t identify. The official was confident a commercial deal could be reached with bondholders, it said. The Dubai government’s media office declined to comment when contacted by Bloomberg News. Shares also tumbled after Standard & Poor’s said it may strip France and Germany of their Aaa credit ratings.

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