Nakheel seeks trading suspension

As the trading opened for the first day after long Eid break, shares in the debt ridden Dubai World conglomerate, of which Nakheel forms a part dropped more than 15 per cent. Nakheel has asked for a suspension in trading of all its Islamic bonds, the Nasdaq Dubai bourse said.

“Nakheel has asked for all three of their listed sukuks (Nakheel Development Limited, Nakheel Development 2 Limited, Nakheel Development 3 Limited) to be suspended until it is in a position to fully inform the market,” NasdaqDubai said.
Nakheel was expected to repay some US$3.5 billion in maturing sukuks on December 14. Shares fell across the board in Dubai with 14 out of 32 companies opening limit down while 17 out of 60 firms opened limit down in Abu Dhabi.
Senior industrialist, Ram Buxani, told PTI  “Dubai has developed unparalled infrastructure in such a short time and obviously have landed in overexposure but that should not raise any doubts on its capability to face (such crisis).”

Dubai has gone through many upheavals in the past and has emerged victorious, he said.