Global Investment House said on Monday it may face legal action from Egypt's Commercial International Bank in a dispute over an unsettled loan.

Egypt's Commercial International Bank 'has decided not to join the rest of lenders working on rescheduling their loans (with Global) and go to court to settle the debt,' Global said in a statement on the Kuwaiti bourse website.

'The firm (Global) confirms it is committed to serve all of its debts on time.'

The dispute is over an unpaid loan worth $29 million with the Egyptian lender, which was part of a syndicated loan worth $200 million arranged by Germany's state bank WestLB, the bourse statement added.

A Commercial International Bank spokesman, who declined to give his name, said he could not comment on the report.

Global said last month it had defaulted on most of its debts as investment firms in oil producer Kuwait suffer from the credit crunch.

In December, Global said it had appointed HSBC and Kuwait's CBK Capital to hold talks with creditors to reschedule debt.-Reuters