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DUBAI / Reuters
Manufacturer JBF RAK, which is 60 percent owned by the United Arab Emirates’ Ras al-Khaimah Investment Authority (RAKIA), is in talks with banks about renegotiating around AED2bn ($544.6 million) of debt, banking sources said. The polyester producer, which according to its website is an affiliate of India’s JBF Group, has contacted lenders about reviewing its debt obligations, said the sources, who spoke on condition of anonymity as the matter is not public.
JBF RAK manufactures a synthetic fibre and resin which is spun into fabrics but also moulded into disposable bottles for beverages, shampoo and liquid soap.
One of the sources said JBF
RAK, which has relationships with 19 banks, is seeking to extend
maturities on outstanding bank
liabilities of around 1.96 billion dirhams. Bankers are hoping
that the company will get support from RAKIA, its other owner,
the source said.