DUBAI, Jan 21 (Reuters) - Dubai’s Emaar Properties and state-owned developer Nakheel have put on hold plans to issue U.S. dollar-denominated bonds, Emaar and sources familiar with the bond issues said, amid a real estate downturn and volatility in emerging markets.
Emaar told Reuters that it had put on hold a planned bond issue, blaming rising interest rates but did not elaborate. Nakheel declined to comment.
Three financial sources said the firms had planned dollar-denominated Islamic sukuks, and would have had to pay a yield premium to attract enough investors due to concerns about Dubai’s property price slide and emerging market volatility. (Reporting by Davide Barbuscia Additional reporting by Alexander Cornwell Editing by Ghaida Ghantous and Edmund Blair)