Dubai – Mubasher: Union Properties has entered into an agreement with Emirates NBD to fully restructure its existing AED 946 million debt with the bank and pay the initial amount as per new terms.
This move will enable the group to significantly cut its instalments and improve its cash flow position under better repayment terms, according to the group's disclosure to the Dubai Financial Market (DFM) on Monday.
Hence, the agreement with Emirates NBD, the group's main creditor, will enhance its debt profile.
Commenting on the agreement, the chairman of the group, Khalifa Hasan Al Hammadi, said: "With better cash-flows and the support of our main creditors, we can from this day exclusively focus on the development of our activities and projects."
It is noteworthy to mention that in 2019, the company has logged net losses of AED 218.806 million, against a net profit of AED 62.329 million in 2018.