The Investment Dar seeks 50% discount on debt from creditors (BY IFN)

The Investment Dar seeks 50% discount on debt from creditors

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KUWAIT: The Investment Dar (TID), whose financials have taken a turn for the worse since its US$100 million Sukuk default in 2009, has been said to approach its creditors to seek a 50% writedown on its current debt. The proposal by TID includes a cash payment totaling to 5.7% of their outstanding debt and a Shariah compliant facility worth 44% of the group’s current exposure, Bloomberg reported. According to sources, the facility will be backed by assets from TID’s real estate holdings and the company’s stake in Aston Martin, which was acquired in 2007 at a cost of GBP503 million (US$786.52 million). The company is said to have racked up around US$5 billion in accumulated debt, and has not reported its financial results since it announced a KWD80.31 million (US$290.4 million) loss in 2008. As at 2011, the company’s portfolio of assets showed KWD74.71 million (US$270.15 million) in investment properties, KWD60.08 million (US$217.25 million) of land under development, KWD277.87 million (US$1 billion) worth of investments in real estate associates, most of which are Kuwait-based.