Hong Kong commodity trader Noble Group has revised its restructuring proposal with the support of major shareholder Abu Dhabi-based Goldilocks Investment Company and looks set to move into the final stages of plans to form New Noble.
In the revised deal, shareholders will receive an increased share of 20% of the equity in the new restructured company, which will form a strategic partnership with in the Middle East with Abu Dhabi Financial Group (ADFG).
Goldilocks, a subsidiary of ADFG, has given full support to the restructuring and dropped all legal claims against Noble. It will also place a member on the New Noble board.
In April, the Singapore High Court blocked an AGM meeting called by Noble Group to vote on the deal after Goldilocks launched two lawsuits against it.
Paul Brough, chairman of Noble, commented: “We are pleased to have secured Goldilocks’ support for the Restructuring. The Strategic Partnership Agreement announced today will create real opportunities for New Noble in the Middle East. We firmly believe that the RSA represents the best and most fair deal for all parties, and is the only way to preserve value in the Group. By reaching agreement with Goldilocks, the Company is now able to move into the final stages of its Restructuring and looks forward to executing the RSA. New Noble, will be strongly positioned to capitalise on the positive dynamics in Asian and Middle Eastern commodities markets.”
Noble Group shares have responded to the news, and are up over 44% in early morning trading on the Singapore Exchange.