Nakheel repays $926 million to trade creditors

Dubai developer Nakheel said on Thursday that it had repaid trade creditors AED 3.4 billion ($925.9 million), in cash as part of its debt repayment plan which commenced in March 2010.

"Nakheel has approximately 85% (by value) of acceptances and is working closely with the rest of our trade creditors to achieve its 95% acceptance of all payables by the end of the year," it said in a statement.

Under Nakheel's restructuring plan, trade creditors have been offered 40% of what they are owed in cash (AED 4 billion) and the rest through an Islamic bond or 'sukuk'.

Furthermore, Nakheel said that it had "appointed independent claims consultants to commence the assessment and evaluation of the estimated claims submitted by the various trade creditors."

The builder of islands in the shape of palms off the Dubai coast has recently restarted projects and expects to complete its debt restructuring by the end of 2010.