Restructuring in the six-nation Gulf Cooperation Council is likely to increase this year as underlying problems at companies in the region resurface, Morgan Stanley said.
“In many cases, a lot of underlying issues haven’t been resolved,” Peter Fort, the bank’s regional executive director for mergers and acquisitions, told reporters in Dubai today. “Some of the restructuring that were done in 2009/2010 are requiring re-negotiation, so you’ll probably see a wave of re- restructuring as well.”
Companies in the GCC, which includes the U.A.E. and Saudi Arabia, have almost $90 billion of foreign-currency debt maturing through the end of 2013, according to a Dec. 19 estimate by Barclays Capital analysts. Companies in Abu Dhabi, Dubai, Kuwait and Oman have already undergone restructuring after the global financial crisis hurt the region’s property and financial services sectors.
No comments:
Post a Comment