New York Hedge Fund Leads Effort On Dubai Bonds

In the days since Dubai World announced that it would have to delay its debt payments, the value of its Islamic bonds have plummeted and hedge fund QVT Financial has rallied bondholders to consider their legal options.

New York-based QVT has formed a creditors group that holds “over 25% of the nominal value” of the $3.52 billion in bonds issued by Nakheel, a property-development subsidiary of Dubai World.