Dubai developer Nakheel said it has initiated early repayment of Dh2.35 billion ($639.8 million) of bank debts 18 months ahead of maturity in September 2015.

The state-owned company had accumulated Dh6.8 billion of bank debts while building ambitious mega-development projects such as the palm tree-shaped island off Dubai's coast.

Nakheel in January said it would repay a portion of its debts ahead of time.

The company was taken over by the government as part of a $16 billion restructuring plan in 2011. - Reuters