Nakheel to issue sukuk in Q1 2011
Dubai, November 28, 2010
Top regional property developer Nakheel said its financial and operational restructuring is on track and plans to issue a sukuk (Islamic bond) to its trade creditors in the first quarter of 2011.
Nakheel, which was trying to reach agreement on a proposed restructuring plan, is returning to health, said Faisal Mikou, the executive vice president of the Investment Corporation of Dubai.
'We are making very good progress on the restructuring. Nakheel's financial and operational restructuring is going according to plan,' Mikou said.
'We also plan to issue a sukuk to trade creditors in the first quarter of next year,' he added.
Despite improving balance sheets among Dubai's state-linked companies, significant challenges remain.
In a reminder that emirate's debt troubles are far from over, financial services firm Dubai Group recently missed two payments on separate loans.-Reuters