Noble Group makes Chapter 15 bankruptcy filing, defaults on 6¾% notes

By Caroline Salls

Pittsburgh, Oct. 26 – Noble Group Ltd. announced Friday that the trustee of its $1,176,920,000 of 6¾% fixed-rate senior notes due 2020 has issued a notice of default under the notes indenture in connection with the company filing a Chapter 15 bankruptcy case to seek recognition of its scheme of arrangement proceedings in England.

Noble’s Chapter 15 bankruptcy case was filed on Oct. 17 in the U.S. Bankruptcy Court for the Southern District of New York.

If an event of default continues, the company said the principal, premium and interest due on the 2020 notes will be immediately due and payable.

As previously reported, 2020 notes claims and Noble Group’s other senior unsecured debt will be released in exchange for new debt instruments and equity under the terms of the English scheme and a scheme of arrangement filed in Bermuda.

A hearing on recognition of the English scheme proceeding is scheduled for Nov. 15.

According to court documents, Noble had $3.85 billion in funded debt as of June 30. As of Oct. 17, this debt consisted of $2,306,000,000 in principal amount under the existing notes, $1,143,000,000 under existing revolving credit facility loans and $400 million of perpetual capital securities.

The company is represented in its Chapter 15 case by Kirkland & Ellis, LLP.

Noble Group is a Hong Kong-based conglomerate that focuses on raw materials. The Chapter 15 case number is 18-13133.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.