Dubai: Nakheel clears debts to 31 banks

Dubai: Nakheel clears debts to 31 banksImage Credit: Supplied

Nakheel has confirmed the early repayment of its entire Dh7.9 billion bank debt, nearly four years before the final loan instalment due in March 2018. The developer issued instructions for its remaining Dh5.54 billion debt to be repaid to lenders on August 21, six months after its previous early payment of Dh2.35 billion in February.

The company has also issued instructions for the interest payment of Dh129 million, covering the six months from February 27 to August 28.

Lender banks

Nakheel paid 31 banks, including ten from the UAE and 21 from overseas. A total of Dh3.45 billion went to UAE banks, with Emirates NBD and Dubai Islamic Bank being the biggest beneficiaries. The remaining Dh2.09 billion went to overseas banks.

Nakheel said the loan repayment, announced in June, is a testament to the support and guidance of His Highness Shaikh Mohammad Bin Rashid Al Maktoum, UAE Vice-President and Prime Minister and Ruler of Dubai, and the trust and faith that Shaikh Mohammad and the Dubai Government placed in the company.

Nakheel also thanked its lenders, investors, business partners and regulatory authorities for their support throughout its financial restructuring exercise and the implementation of its post-restructuring business plan in August 2011.

Furthermore, Nakheel said it remains committed to its trade creditor sukuk, due in August 2016, and has honoured all profit payments to sukuk holders for the outstanding amount of Dh4.4 billion issued to date.

New projects

Meanwhile, Nakheel has awarded a contract worth Dh59 million to Dubai-based Ghantoot Road Contracting for major infrastructure work at its Al Furjan master community in Dubai.

In another project, the developer has appointed Dar Al-Handasah for the design, engineering and supervision services of the 2-million-sq-ft mall development at Jumeirah Village Triangle.

Click on Nakheel to know more about pay offs

Source: Property Weekly


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