x Abu Dhabi, UAE Friday 21 July 2017

Egypt settles with Dubai's Damac Properties and the Al-Futtaim Group

The Wires: An Egyptian government commission approved the settlement of disputes with Dubai's Damac Properties and Al-Futtaim Group.

An Egyptian government commission approved the settlement of disputes with Dubai's Damac Properties and Al-Futtaim Group, according to Fayza Aboulnaga, minister of planning and international cooperation.

The initial agreement will be submitted for government approval in the new week, she told reporters in Cairo today.

The deal provides for the two companies to fund the difference between prices they had paid for land in contracts with the previous administration of ousted President Hosni Mubarak and the value deemed fair by the current authorities, she said.

The Egyptian government is trying to settle disputes with companies over contracts signed with the Mubarak administration in out-of-court reconciliations.

Damac had filed an arbitration lawsuit in Washington in May against Egypt after the government seized land purchased in 2006 and sentenced its chairman to five years of hard labour.

Abdel Latif Wahba // Bloomberg News