Noble Group Sweetens Debt Restructuring Deal, Gets Founder's Backing

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Noble Group improved the terms of its controversial $3.4 billion debt restructuring deal and won the support of its biggest shareholder as the commodity trader seeks to complete the vital transaction, Reuters reported. Singapore-listed Noble’s debt-for-equity swap has already won the backing of more than 83 percent of the holders of its senior debt but it also needs a majority of its shareholders to approve the restructuring. “The revised structure granting shareholders 15 percent equity in New Noble has my full support,” Noble founder Richard Elman said in Noble’s statement on Monday. Elman resigned from the company’s board last month, citing differences with creditors and the board. Noble said Elman, who founded the company more than 30 years ago and holds nearly 18 percent of its shares, would be appointed as an executive director on the new company’s board. Noble says the debt-for-equity swap is crucial for its survival, after it sold billions of dollars of assets, took hefty writedowns and cut hundreds of jobs over the past three years. Read more.