Our major sponsor the Royal Falcon Group are based in Dubai.
Dubai World, with $59billion in liabilities, will ask all creditors for a standstill agreement as it negotiates to extend maturities, Dubai's Department of Finance said on Nov 25. Moody's Investor Service said it would consider the plan a default should bondholders be forced to accept the terms. Dubai borrowed $80billion in a four-year construction boom to transform its economy into a regional tourism and financial hub.
Dubai World's lenders include Credit Suisse Group,HSBC Holdings, Barclays, Lloyds Banking and Royal Bank of Scotland. - i.e. The Usual Suspects.
Personally I believe this to be a storm in a teacup. One of these Arab Sheiks could probably put the whole thing on his Mastercard.
But it bears discussion - will it have any effect on financing, or future ventures for the RF group and more importantly could this have any effect on GMR?
For example is the RF involved and if so is it owed any of this money?
GMR Price at posting:
13.9¢ Sentiment: Hold Disclosure: Held
