Noble Group has sought Chapter 15 protection in the US while it pushes through a deal to restructure debt of $3.5bn.
The Singapore-listed commodities trader has filed papers with the Southern District of New York aimed at providing a shield to the company’s assets while the reorganisation takes place.
Noble, has been looking to restructure after bond debt fell into default and has sold some of its dry cargo fleet in the past year.
Under the restructuring, substantially all of the company’s assets will be transferred to Noble Group Holdings, which is being called the New Noble in the documentation.
Scheme creditors are being offered both new bonds a fresh equity in the new vehicle.
At the same time, $800m in new debt has been lined up.
It includes a $600m loan from ING Bank and Deutsche Bank, a $100m support facility from Deutsche and $100m from Value Partners Limited and Pinpoint Asset Management.
Shareholders in Noble are being offered 20% of the paid up capital in New Noble and 10% of the special purpose vehicle in which management will be allocated stock, court documents show.
