DUBAI, United Arab Emirates — A property arm of struggling state conglomerate Dubai World is backing out of a plan to build luxury homes in Malaysia as it looks to shore up its finances.
The cash-strapped company’s Limitless division is selling off its stake in a partnership with Malaysia’s Bandar Raya Developments to develop waterfront land in the southern city of Nusajaya.
Limitless will generate about $23.8 million in the deal, according to a regulatory filing on Malaysia’s stock exchange.
Limitless said in a statement Sunday that it continues “to review our business activity to reflect market conditions.”
The company’s parent Dubai World needs cash as it works to pay back $23.5 billion in debt.