Dubai's sale of a flagship corporate asset has been dealt a blow after prospective bidders learnt of an investigation they believe the US Department of Justice is conducting into the business.
Dubai World has been seeking to sell Inchcape Shipping Services, a port and shipping agent, as the state-owned conglomerate seeks to raise cash as part of a restructuring of its $23.5bn of debts.
But several private equity groups dropped out of the bidding for the business after discovering during due diligence what they believe is an investigation by the DoJ over its contract to service the US navy's Fifth Fleet in the Middle East.
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