Nakheel Nears Recovery from Bank Debt

Nakheel Nears Recovery from Bank Debt
Photo by Emirates 24/7

Nakheel, one of Dubai’s leading developers, is close to being debt-free, with a remaining payment of AED 4.4 billion in trade creditor sukuk, reported Trade Arabia.

The payment comes in parallel with the company’s financial restructuring, which started in 2011, and will fulfill all its remaining creditor payments.

The company was significantly struck by the slowdown in Dubai’s real estate sector, prompting the company to undertake a large-scale restructuring that placed them into a $16 billion debt.

Nakheel paid AED 7.9 billion of the debt in 2014, four years before the scheduled repayment date.

Nakheel’s Chairman Ali Rashid Lootah stated that payment of the debt was considered one of the largest milestones in the company’s history and its debt-free position reflects the country’s trust in the company, according to Gulf Business.

Lootah added that the last six years were evidence of stakeholder trust in Nakheel, as it managed successfully  to restructure plans despite working under strict financial rules.

Fatma Khaled 379 Posts

An aspiring journalist always seeking to deliver the best of everyday's news. I am a very enthusiastic Egyptian who is committed to journalism and what I could give as a journalist/ writer through reporting on business and political news.

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