Dubai Developer Grapples With Mounting Losses

Dubai Developer Grapples With Mounting Losses

Dubai-based property developer Union Properties is facing a significant financial hurdle, with its accumulated losses reaching nearly half of its paid-up capital. According to a recent disclosure on the Dubai Financial Market (DFM), the company’s losses stood at over AED 2.1 billion (USD 571 million) by the fourth quarter of 2023. This translates to 49.08% of Union Properties’ paid-up capital, highlighting the company’s ongoing financial struggles. The […]

via Dubai Developer Grapples With Mounting Losses

Dubai-based property developer Union Properties is facing a significant financial hurdle, with its accumulated losses reaching nearly half of its paid-up capital. According to a recent disclosure on the Dubai Financial Market (DFM), the company’s losses stood at over AED 2.1 billion (USD 571 million) by the fourth quarter of 2023. This translates to 49.08% of Union Properties’ paid-up capital, highlighting the company’s ongoing financial struggles.

The latest figures represent an improvement from the previous quarter, where accumulated losses reached AED 2.863 billion, constituting 66.75% of the paid-up capital. This suggests that Union Properties has made some progress in mitigating its losses, though significant challenges remain.

The reasons behind Union Properties’ financial woes are not explicitly stated in the disclosure. However, the company’s performance is likely influenced by broader