Palm islands developer Nakheel to merge with Meydan under Dubai Holding

DUBAI: Dubai real estate developers Nakheel and Meydan will merge and become part of Dubai Holding, UAE’s WAM state news agency reported on Saturday.

Sheikh Mohammed bin Rashid Al Maktoum, Dubai’s ruler, directed the two to merge under his investment vehicle Dubai Holding.

“The goal is to create a more financially efficient entity, owning assets worth hundreds of billions, and comprising global expertise across various sectors,” WAM quoted Sheikh Mohammed as saying.

Nakheel, the group behind Dubai’s palm-shaped islands, was taken over by the government in 2011 as part of a $16 billion rescue plan in the aftermath of a 2009-2010 real estate crash. It has recently secured new financing and accelerated plans for new waterfront projects, cashing in on a rise in demand for coastal properties in the wake of the coronavirus pandemic.

Meydan is a major developer of hospitality and entertainment facilities in Dubai, including Dubai Canal, a 3-kilometre stretch of waterway between Dubai’s Business Bay and the coast.

It also has real estate projects next to its Meydan Racecourse, home of the Dubai World Cup horse race.