Noble Group gets more support for restructuring plan

FILE PHOTO - A Noble Group sign is pictured at a meet-the-investors event in Singapore August 17, 2015. REUTERS/Edgar Su/File Photo

(Reuters) - Commodity trader Noble Group Ltd NOBG.SI said on Monday that it is getting growing support for a $3.4 billion restructuring plan after more than 70 percent of creditors holding the majority of its senior debt accepted the initiative.

The proposed restructuring agreement requires approval by a majority of existing senior creditors representing 75 percent in value of its debt.

Noble added that advisers to the Ad Hoc Group and the company are in talks with about 10 percent of additional creditors who support the proposed financial restructuring, subject to accepting the restructuring and completing internal approval processes.

“The company remains confident that the number of creditors acceding into the RSA (restructuring support agreement) will continue to rise,” said the Hong Kong-headquartered firm.

Noble warned last month that it would begin insolvency proceedings if the debt restructuring was not approved.

Last week, Singapore Exchange’s regulatory arm had asked Noble’s senior creditors to assess the beleaguered commodity trader’s restructuring plans to “ensure parity in the treatment of all shareholders”.

Reporting by Aditya Soni in Bengaluru; Editing by Bernard Orr