Dubai's Majid Al Futtaim to sell hybrid bond when mkts recover

DUBAI, July 25 Thu Jul 25, 2013 3:49am EDT

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DUBAI, July 25 (Reuters) - Dubai mall developer Majid Al Futtaim (MAF) said on Thursday that it still plans to issue a hybrid bond that will partly fund its recent buyout of French retailer Carrefour's stake in a joint venture.

MAF delayed plans to raise at least $500 million from the hybrid bond in June due to market volatility.

"The market conditions in the last few weeks have been volatile and we are waiting for a receptive window for this issuance," said Iyad Malas, chief executive of MAF said in an emailed statement announcing the company's first-half earnings.

"There is no change to our intention to issue the hybrid security."

MAF hired banks to partly finance the $683 million acquisition of Carrefour's 25-percent stake in a joint venture through a hybrid bond issue, which combines elements of both debt and equity.

Financing an acquisition through the issuance of a hybrid bond would be the first such transaction in the region.

Unlisted MAF reported a first half revenue of 11.3 billion dirhams, up 10 percent from the corresponding period in 2012. (Reporting by Praveen Menon; Editing by Dinesh Nair)

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