Returning to the Scene of the Crime? Nakheel in Talks With Nasdaq Dubai to List Sukuk
Nakheel PJSC, the developer of palm- shaped islands off Dubai’s coast, is in preliminary talks with Nasdaq Dubai to list Islamic bonds.
Nakheel was the debtor involved in the multi-billion dollar Dubai World Sukuk debacle in late 2009 in which creditors were asked to “stand still” and extend maturities on Islamic bonds (Sukuk). The Dubai World near-default was just the highest profile case of trouble for so-called “ethical” Sukuk issuances around the world of Shariah-Compliant Finance. No fewer than 34 Sukuk have defaulted in the past 2-3 years.
Dubai World/Nakheel avoided default only thanks to a bailout by the regime in Abu Dhabi. Now Nakheel is seeking to issue new Sukuk…