State-owned conglomerate, Dubai World, is restructuring its $24.9 billion debt, The Wall Street Journal reports. Under the terms of the two-tranche debt repayment plan, the company’s 80 creditors will get $4.4 billion in five years, while the second tranche will involve $10.3 billion over eight years at a fixed interest rate of 2.4%. The company, which won creditor support from all its creditors in November for the restructuring plan, will finance its initial $4.4 billion repayment through its Istithmar World portfolio and its Infinity investment. The repayment amount will cover Dubai World debt held by banks, while the Dubai government will still hold the group’s remaining debt.
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