Dubai builder of world's tallest building to be liquidated

DUBAI, United Arab Emirates (AP) — The Dubai-based construction company that helped build the world's tallest building and other engineering marvels in the United Arab Emirates announced Thursday it would enter liquidation, the final step in a long collapse from the country's economic crisis a decade ago hastened by the coronavirus pandemic.

Arabtec Holding PJSC made the announcement after emails circulated Wednesday among developers suggesting the firm's end had come. Despite trying to claw its way out of the chaos left by Dubai's 2009 financial crisis, the firm ended last year with hundreds of millions of dollars in debt and losses.

Arabtec chairman, Waleed al-Muhairi, said in a statement published by Abu Dhabi's state-linked newspaper The National that after years of setbacks, Arabtec’s projects were severely hit by the economic fallout of the pandemic.

“Despite efforts to pursue legal and commercial entitlements and a restructuring of the company’s finances and operations, the situation in which Arabtec finds itself today is untenable," he said.

The Dubai Financial Market halted trading on Arabtec shares late Wednesday. Among Arabtec's biggest investors is the Abu Dhabi-based sovereign wealth fund Mubadala.

Founded in 1975, Arabtec has built both skyscrapers and the infrastructure needed to pump oil and natural gas in this OPEC-member nation. It helped build the Burj Khalifa, the centerpiece of modern downtown Dubai that at 2,717 feet (828 meters) is the world's tallest building. It also built the Louvre Abu Dhabi, Abu Dhabi's Emirates Palace hotel and a major centerpiece of Dubai's upcoming Expo 2020 world's fair.

But Arabtec, like other construction firms, has struggled to come out of the shadow of Dubai's 2009 financial crisis, which saw its property...