DP World still at risk of sale to pay Dubai World creditors

TROUBLED Dubai World assets are worth less than half of its debt, with much of its value in DP World's terminal operations, according investment bank JP Morgan.

Dubai World, which had been seeking to reschedule its US$50 billion debt, said last week it has arranged for 99 per cent of its remaining $25 billion debt and all company's assets were now listed for sale as part of the restructuring, Bloomberg reported.

With $25 billion debt to settle, Dubai World assets have been reckoned at $11 billion by JP Morgan. Of those assets, the company's container terminal operating arm DP World is valued at $7.1 billion, JP Morgan Chase analyst Zafar Nazim said in a research report.

Dubai World holds 80 per cent stake in the otherwise prosperous DP World, but may have to shed some of that stake, with Mr Nazim saying Dubai World would retain 50 per cent of it.
(Source:www.schednet.com)