Nakheel says 91 percent trade creditors agree to debt plan

DUBAI (BestGrowthStock) – Troubled Dubai developer Nakheel (NAKHD.UL: ), a unit of conglomerate Dubai World (DBWLD.UL: ), on Wednesday said 91 percent of trade creditors have agreed to its restructuring proposal.

“… 91 percent(by value) of trade creditor accounts payable has been finalized in signed Restructuring undertakings,” a Nakheel spokesperson said in a statement.

The company said it will continue to work to achieve the required 95 percent “restructuring threshold.”

Under the terms of its $10.9 billion restructuring proposal, trade creditors will receive 40 percent in cash and 60 percent repayment through an Islamic bond with a 10 percent return.

The firm had earlier said that 85 percent of its trade creditors agreed to the debt deal.

(Reporting by Praveen Menon; Editing by Dinesh Nair)

Nakheel says 91 percent trade creditors agree to debt plan