Dubai World has started restructuring talks on $26bn of debt held by subsidiaries such as Nakheel and Limitless, according to a statement on the Nasdaq Dubai on 1 December.

According to the statement, the conglomerate is not restructuring the debt of DP World, Istithmar World, and the Jebel Ali Free Zone. The statement described the three companies as being “on a stable financial footing”.

On 25 November, the company announced that it was restructuring its debts.

“Following a detailed review of the group’s liquidity and capital structure, Dubai World has concluded that it should immediately consider alternatives in respect of the debt obligations of certain entities within the group,” according to the statement.

The company said it has started talks with banks and it has requested the holders of Nakheel’s $6bn debt to appoint a representative.

A group of creditors that holds more than 25 per cent of Nakheel’s $3.5bn sukuk, which is due on 14 December, has appointed UK law firm Ashurst as its legal representative.

Dubai World will carry out the restructuring in “an equitable way for the overall benefit of all stakeholders”.

US-based investment bank Moelis & Company and the UK’s Rothschild are advising Dubai World on the restructuring.