Gov't official does not give reason for withdrawal from Lombok Island project.
Dubai developer Emaar Properties has pulled out of a $600 million project in Indonesia, an Arabic daily said on Monday, citing an Indonesian government official, without giving a reason for the exit.
The mixed-use project on Lombok Island will be retendered internationally, the official was quoted as saying. Gulf companies and a large Indian company have shown interest in completing its development, the official said.
Emaar was not immediately available for comment.
The builder of the world's tallest tower signed a deal to develop the project with Perusahaan Pengelola Aset in 2007.
In February, Emaar said it would focus on mid-income housing in emerging markets and overseas expansion to boost 2010 revenue after returning to profit in the fourth quarter.
Emaar pulled out of a $20 billion development in Algeria in 2009 as a result of the economic downturn.
The group's shares closed 5.4 percent higher earlier on Monday after reports India's market regulator had given the go-ahead for Emaar's Indian joint venture to launch an initial public offering. (Reuters)