Abu Dhabi Group has distanced itself from claims that it is to fund a tower in Karachi that would be taller than Dubai’s Burj Khalifa.
Stories emerged last week that the group was set to invest up to $45bn in the country alongside Pakistani property tycoon Malik Riaz Hussain for projects including Bahria Town.
The reports followed the signing of a deal between Sheikh Nahayan Mabarak Al Nahayan and developer Bahrian Town Pakistan, which is planning to build the tower alongside a number of property development projects in Lahore and Rawalpindi.
However, in a statement that appeared in several Pakistani newspapers over the weekend, Abu Dhabi Group described the reports as “erroneus”.
“The level of investment referenced has not been discussed or agreed,” it said.
It said that a memorandum of understanding (MoU) was signed between the developer and Sheikh Nahayan, but this was on behalf of his own company, Dhabi Contracting Establishment, as opposed to the Abu Dhabi Group.
The MoU was simply an indication of interest by Dhabi Contracting to cooperate with Bahria Town Pakistan (Pvt) Ltd to provide technical support and assistance to the project,” the statement said.
“It must be stated clearly and unequivocally that neither Sheikh Nahayan, the Abu Dhabi Group, Dhabi Contracting nor any other related party have undertaken or assumed any financial obligation or commitment to invest in this project and that there is no agreement to do so.”
The statement added that the MoU has also since been cancelled.
“However, it should be noted that Sheikh Nahayan continues to value his longstanding relationship with Pakistan and remains committed to his existing investments and to future business opportunities that may arise. It is unfortunate that a discussion on possible technical matters between two construction companies has been misconstrued.”