Dubai developer Nakheel yesterday confirmed the early repayment of its entire Dh 7.9 billion bank debt, nearly four years before the final loan instalment due in March 2018.
Nakheel yesterday issued instructions for Dh5.54 billion to be repaid to lenders on Thursday, 21 August – just six months after its previous early payment of Dh2.35 billion, in February this year. In addition, the company has issued instructions for the interest payment of Dh129 million, covering the six months from 27 February 2014 to 28 August 2014.
Nakheel will pay 31 banks, including 10 from the U.A.E. and 21 from overseas. A total of Dh3.45 billion will go to U.A.E. banks, with Emirates NBD and Dubai Islamic Bank being the biggest beneficiaries. The remaining Dh2.09 billion will be paid to overseas banks.
Nakheel said that the loan repayment, announced in June, is a true testament to the support and guidance of His Highness Sheikh Mohammed Bin Rashed Al Maktoum and the trust and faith that he and the Government of Dubai placed in the company.
Nakheel also thanked its lenders, investors, business partners and regulatory authorities for their support throughout its financial restructuring exercise and since the implementation of its post-restructuring business plan began in August 2011.