By Claudia Maedler Dec. 8 (Bloomberg) -- Dubai shares tumbled to the lowest level in almost five months, led by Emaar Properties PJSC and Emirates NBD PJSC, on concern that Dubai World is struggling to restructure its debt. Emaar, the United Arab Emirates’ biggest real-estate developer, slumped 7.6 percent and Emirates NBD, the region’s largest publicly traded bank by assets, retreated to the lowest since Sept. 3. The DFM General Index plunged 4.7 percent, the biggest fluctuation among global benchmarks tracked by Bloomberg, to 1,663.35 at 10:41 a.m. in the emirate. The measure, which is heading for the lowest close since July 13, has tumbled 20 percent since Dubai said on Nov. 25 that it was seeking a “standstill” agreement on Dubai World’s debt. Dubai World last week began talks with banks to restructure $26 billion of debt, including a $3.52 billion Islamic bond of property unit Nakheel PJSC maturing on Dec. 14. Debt restructuring by Dubai state-run companies may almost double to $46.7 billion as more of the emirate’s businesses could need help making payments, Morgan Stanley said. “Until there is some clarity on debt restructure, there won’t be any serious buyers,” said Julian Bruce, director of institutional equity sales at EFG-Hermes Holding SAE in Dubai. “The closer we get to the Nakheel deadline with no news, the worse it will be.” Emaar fell to 2.91 dirhams, poised for the lowest close in four months. Emirates NBD lost 4.8 percent to 3.59 dirhams. Abu Dhabi’s index dropped 1.5 percent, bringing the two-day retreat to 3.2 percent. Oman’s MSM30 Index declined 0.4 percent, while the Kuwait Stock Exchange Index was unchanged. To contact the reporter on this story: Claudia Maedler at cmaedler@bloomberg.net

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