Uae developers aldar, sorouh eye state-backed merger

Abu Dhabi's struggling developer Aldar Properties may merge with local rival Sorouh Real Estate in a state-backed tie-up that could create a company worth some $15 billion in assets.

A decision on the merger of the top two developers in the emirate will be made within three months after a joint committee assesses the matter, the companies said in a joint statement on the Abu Dhabi bourse, adding the talks had "the blessing of the Abu Dhabi government".

The plan comes as prices slide in the emirate's real estate sector, which has not recovered from the downturn seen after the 2008 global financial crisis.

Source: Reuters.com