DIC to delay bank repayment for 3 months
Dubai Holding's company reaches agreement with six banks to postpone repayment of more than $1 billion.
May 28, 2010 11:03 by Samuel Potter
Dubai International Capital, a private equity investment arm of Dubai Holding, reported it has reached an agreement with six of its lending banks to delay repayment of a $1.25 billion debt until September 30th, the Telegraph reported.
The company said in a statement, “he extension period would allow the implementation of a consensual longer-term plan that would enable DIC to maximize the value of its business for the benefit of all its stakeholders,” the story quoted.
The DIC has a reported $2.6 billion in total debt, $1.25 billion of which is due now and has received the 90-day extension. British bank exposure to Dubai’s debts is of increasing concern as Europe faces its own debt crisis, the Telegraph said.