Dubai’s Amlak Finance Offers Lenders New $2.7 Billion Debt Deal - Bloomberg

Dubai’s Amlak Finance Offers Lenders New $2.7 Billion Debt Deal - Bloomberg:



"Amlak Finance PJSC (AMLAK), the Dubai-based Islamic mortgage provider, has proposed a new deal to restructure about $2.7 billion in debt.



The Dubai-based company part-owned by Emaar Properties PJSC (EMAAR) met lenders last month to present the deal, a spokesman confirmed in an e-mailed response to questions. If the deal is agreed, Amlak will make an initial 20 percent down-payment to depositors worth about 2 billion dirhams ($545 million) the spokesman said. The remaining debt to “commercial depositors” will be paid over 12 years, with about 1.4 billion dirhams turned into a convertible instrument, he said.



“Following the meeting, depositors have been given two months to assess and accept Amlak’s restructuring package after which Amlak will be able to start repaying its debt and take the next steps to lift the suspension of the trading of its shares, which has been in place since 2008,” the spokesman said."



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