Nakheel plans early repayment of bank debt

Nakheel plans to prepay in 2014 more than half of its bank debt of AED6.8 billion, originally due for repayment in September 2015. The company will pay AED2.35 billion in Q1 2014, and plans an additional prepayment of approximately AED1.65 billion in Q3 2014. Moreover, Nakheel plans to make additional payments of AED3 billion by Q3 2015. Other amounts will be paid ahead of the due dates. The trade creditor sukuk, due in August 2016, will be paid on time. The company says that a robust financial performance that has significantly exceeded its revised business plan, has led to improvements of approximately AED22 billion to date over the plan period. Over the past 28 months, since the successful completion of the financial restructuring, Nakheel has continued its focus on delivering the revised business plan and creating a long term sustainable business. Besides, Nakheel also launched new development projects to revive its core business activity of property development.