Dubai World’s plan to restructure $24.8bn of debt has been welcomed by creditors, said the chairman of Emirates NBD, one of the biggest lenders to the state-owned holding company.
“The offer has been well received by the financial institutions, contractors and investors,” Ahmed Bin Humaid Al Tayer said today at a conference in Ajman, one of the seven sheikhdoms that make up the United Arab Emirates. Dubai World’s proposal “takes into consideration the best interest of everybody” and the talks are now in the final stages, he said. Emirates NBD is 56%-owned by Dubai’s government.
Dubai World, one of the emirate’s three main state-owned holding companies, and its property unit, Nakheel, are seeking to renegotiate their borrowings after the global credit crisis battered Dubai’s real estate market left the emirate’s companies unable to raise new debt.