Yes I know its been in the National and Gulf News but but but, check out the bit where they 'fess up to actually being $39.9 Bn in Debt. Holy quacamole when will this end ...........
Dubai World could sell DP World and other 'crown jewel' assets
Debt-laden Dubai World has raised the prospect of selling previously ring-fenced "crown jewel" assets such as ports arm DP World.
By Helia Ebrahimi
Published: 6:15AM BST 26 Aug 2010
A strategy outline for the group at its latest creditor presentation looked at raising up to $19.4bn to appease creditors.
It was put together last month by the company and a co-ordinating committee which represent 60pc of the $23.5bn of debt being restructured.
The state-owned conglomerate is now canvassing creditors holding the remaining 40pc of owed monies to submit feedback before September 9 ahead of an October 1 "soft" deadline to complete the restructuring.
The outline document also revealed the group's debt stood at $39.9bn – far higher than estimates of about $25bn – even though not all of the debt is being restructured.
In the presentation the company said an immediate asset sale would raise just $10.4bn, but argued that recoveries for lenders would be "significantly enhanced if Dubai World is given time to rebuild and realise value over a five to eight year horizon".
It said the assets could fetch $19.4bn over this longer period.
Until now DP World, which bought P&O Ports in 2006 and runs Southampton and Tilbury docks in the UK, had been considered sacrosanct – along with Jebel Ali Free Zone.
Although Dubai World plans to resist selling either, the joint company/creditor document presented various disposal scenarios if that was the only way to quell creditor concerns.
