Dubai World to meet creditor committee on 24 March

23 March 2010

Restructuring meeting being held to discuss terms of debt repayments

UAE conglomerate Dubai World and its advisers will meet with representatives of the company’s creditors to discuss proposals on the restructuring of $22bn of debt on 24 March, according to sources close to the talks.

The meeting will take place in Dubai. Representatives of Dubai World will meet with the seven members of the creditors’ coordinating committee in what is expected to be the beginning of talks over a proposal for the larger group of around 100 creditors owed money by the state-owned company.

The seven banks in the coordinating committee are the local Emirates NBD and Abu Dhabi Commercial Bank along with HSBC, Royal Bank of Scotland, Standard Chartered, and Lloyds TSB, all of the UK, and Japan’s Bank of Tokyo Mitsubishi.

One-on-one meetings with the coordinating committee occurred in early March. At these meetings, Dubai World began presenting its proposals to repay creditors in full over an extended time period, but negotiations on interest payments are yet to be finalised.

The 24 March meeting will continue the discussion of these proposals, according to one banker close to the talks. The next step will be for the coordinating committee to present the proposals to the wider creditor group.

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