Aurum, the parent company of Dubai real estate developer The First Group, said on Monday it had reached a temporary standstill agreement with a “private” group of creditors, as discussions continue over a sukuk restructuring due next year.
And “Aurum” stated last week that it had obtained approval from the holders of sukuk worth $ 135 million to which the amortization system applies, or periodic payment according to the specified schedule, and due on August 7, 2024, “to permanently amend the terms and conditions of the certificates” in order to review the schedule. Distribution payments and other aspects of the terms.
“Holders of sukuk holding more than 75% of the total outstanding sukuk have signed the standstill agreement, which is the minimum required to pass approval,” Aurum said in a regulatory disclosure to the London Stock Exchange.
The First Group owns a portfolio of hotels, residential properties, food and beverage brands and real estate asset management services, according to its website.
Aurum said the standstill agreement would be in effect until September 18, “or the completion of the sukuk amendment and extension.”
