SINGAPORE (Jan 29): Noble Group reached an in-principle deal to restructure US$3.5 billion ($4.6 billion) in debt, saving the troubled commodity trader from bankruptcy at the cost of handing control to creditors and all but wiping out current shareholders.

After a three-year crisis marked by massive losses, writedowns and controversial accounting, Noble management, bank creditors, and bondholders reached an agreement that will convert half of the debt -- roughly US$1.7 billion -- into new equity, the company said on Monday.

"This agreement marks the beginning of the final phase of our restructuring, and the creation of a new Noble as a focused and appropriately financed group set to capitalise on the high-growth Asian commodities sector," Noble Chairman Paul Brough said in a statement.

To continue reading,

Sign in to access this Premium article.

Subscription entitlements:

Less than $9 per month
3 Simultaneous logins across all devices
Unlimited access to latest and premium articles
Bonus unlimited access to online articles and virtual newspaper on The Edge Malaysia (single login)

Related Stories

Stay updated with Singapore corporate news stories for FREE

Follow our Telegram | Facebook