Dubai World to Divest Assets for Debt Repayment

30 August 2010 (Last Updated August 30th, 2010 18:30)

Dubai World aims to raise about $19.4bn by selling assets to repay a debt of $14.4bn. Under the plan, the company is considering selling all its major assets including DP World and Dry Docks World. Dubai World said it expects to raise $4.5bn over a five-year period and another $10

Dubai World aims to raise about $19.4bn by selling assets to repay a debt of $14.4bn.

Under the plan, the company is considering selling all its major assets including DP World and Dry Docks World.

Dubai World said it expects to raise $4.5bn over a five-year period and another $10bn over eight years supported by the asset sales.

The company’s total debt is $39.9bn, of which about $14.4bn is being restructured and does not include $11bn of non-recourse debt attached to the assets of Istithmar, Dubai World’s private equity arm.

The state-owned holding company said it will lay out a debt restructuring plan with investors by 1 October 2010, according to Reuters.