Noble Group Halves Net Loss in Q3
Noble Group Ltd halved its quarterly net loss from continuing operations to $43.3 million and said its soon-to-be-completed $3.5 billion debt restructuring would enable the commodity trader to reposition its business in Asia Pacific and the Middle East.The Singapore-listed company is seeking approval from a Bermuda court for its restructuring and payment to creditors, the final hurdle to completing a debt-for-equity swap. The company, once Asia's biggest commodity trader, has sold off many assets as part of the restructuring.On Tuesday…
Singapore Court Blocks Noble Group Shareholder Meeting
Noble has other investor meetings due in next few weeks; but court decision could complicate restructuring process. A Singapore court blocked commodity trader Noble Group Ltd from holding its annual meeting of shareholders on Monday following legal action sought by dissident shareholder, Goldilocks Investment Co. Ltd. Friday's ruling is the latest skirmish between Noble and Goldilocks, Noble's third-largest shareholder, in the fight over Noble's restructuring plans with creditors, which will be put forward for shareholder approval a few weeks after the planned annual general meeting (AGM).
Noble Amends Restructuring Plan, Scrambles for Shareholder Support
Noble's action on shareholders was criticised by SGX; Noble needs shareholders to support its restructuring. Bowing to criticism from the Singapore Exchange (SGX) and other investors, embattled Noble Group is removing a provision in its $3.4 billion debt restructuring proposal that penalised shareholders voting against the plan. The debt-for-equity swap is crucial for the survival of the Singapore-listed company, which has sold billions of dollars of assets, taken hefty writedowns and cut hundreds of jobs over the past three years to slash debt.
Vitol's 2017 Traded Oil Volumes Edged Lower
Traded oil volumes edge lower, remain above 7 mln b/d. The world's largest oil trader Vitol said on Monday that its traded crude and products volumes fell slightly in 2017 as it focused on its mid and downstream acquisitions and added assets in the United States by acquiring Noble Group's oil business. The total volume was 349 million tonnes, down slightly from 351 million tonnes the previous year, but staying above the 7 million barrel per day (bpd) level hit for the first time in 2016. The trader added that crude continued…
Noble Group Founder Resigns Due to 'Amicable Differences'
Noble Group Ltd said this week's resignation of its founder Richard Elman was due to "amicable differences" with the board and a group of senior creditors who are negotiating a debt restructuring that is crucial for its survival. The clarification, in response to a query from the Singapore bourse, comes days after Goldilocks, an Abu Dhabi Financial Group equity fund - a leading shareholder of Noble - filed a lawsuit in Singapore against the firm and some of its former and current senior executives, including Elman, alleging they inflated Noble's assets. Singapore-listed Noble said it planned to resist any and all allegations or claims made against it.
Noble Group Hit by Shareholder Lawsuit
Goldilocks Investment Co, a leading shareholder of Noble Group Ltd, has filed a lawsuit with the Singapore High Court against the commodities trader and some of its former and current senior executives, alleging the company inflated its assets. "We have filed it today," said Daniel Chia, a Morgan Lewis Stamford lawyer, who is representing Goldilocks. An external spokeswoman for Noble declined to comment. The move comes days after Noble said it would not make the redemption payment for its $379 million bonds which matured on Tuesday as it seeks a debt restructuring.
Noble Group Share Trading Halted
Trading in shares of Noble Group was halted on Wednesday, just days after the commodities trader said it was very close to reaching final terms with a group of senior creditors to restructure its debt. The Singapore-listed company asked for the trading halt pending the release of a statement. Embattled Noble has been negotiating a $3.4 billion debt-for-equity swap - crucial to its survival - after selling billions of dollars of assets, taking hefty writedowns and cutting hundreds of jobs over the past three years. The Hong Kong-headquartered firm…
AOT Energy Appoints Grimes to Lead U.S. Trading
The Americas arm of Swiss commodities trader AOT Energy said on Wednesday it appointed Pat Grimes as the company's head of U.S. trading based in Houston. Grimes was most recently head of crude trading in the Americas at commodities trader Noble. Earlier this week, AOT Energy confirmed it is in discussions with potential investors over a stake in the company and that it has this year pared its staff. Reuters reported late last week the firm was mulling a sale of part or all of its business amid shrinking credit lines, and AOT Energy's chief financial officer and managing director in Houston were exiting the firm.
Noble Group Reports $4.9 bln Loss, Restructuring Underway
Commodities trader Noble Group Ltd plunged to an annual loss of $4.9 billion versus a profit of $8.7 million a year ago, mainly due to non-cash losses on its derivatives contracts, the company said. In its results reported on Wednesday, Noble said again that its $3.4 billion debt-for-equity swap would help create a sustainable capital structure for the company. Last week, the Singapore-listed firm had flagged a loss of $4.78 billion to $4.98 billion for 2017. The debt restructuring is crucial for the survival of the company…
BB Energy Reopens U.S. Distillates Desk, Expands Trading
Oil trader BB Energy plans to relaunch its U.S. middle distillates operations, hiring Nelson Rios to trade from the company's Houston office, a source familiar with the plans told Reuters. Dubai-based BB Energy, founded in 1937 in Lebanon, has expanded since its initial focus on trading heavy oil products in the Mediterranean.
Noble Group Hopeful of Debt Restructuring Deal
Chairman says talks with bond holders and banks moving forward; hopeful of reaching a conclusion in near future. Struggling commodities trader Noble Group Ltd is having constructive talks with creditors to restructure its debt and is hopeful of a deal in the near future, the company's chairman said. "Various talks have been going for a couple of months. They have been constructive," Paul Brough, a restructuring specialist who was appointed Noble's chairman this year, told a shareholders' meeting in Singapore on Thursday. Noble was once a global commodity trader with ambitions to rival the likes of Glencore and Vitol.
Noble's Proceeds from Unit Sale to Vitol Disappoint
Struggling commodities trader Noble Group has completed the sale of its U.S.-focused oil business to the world's largest oil trader Vitol, but net proceeds from the deal are lower than a previously announced estimate, the company said on Monday. In a statement, Noble Group said net proceeds from the sale of Noble Americas Corp (NAC) to Vitol were expected to be about $400 million. In October, Hong-Kong based Noble said gross proceeds from the deal would be about $1.42 billion and it expected to make about $580 million after repaying loans. Noble said the lower return on the sale that closed on Jan.
Noble Group to Exit Oil Trading: Sources
Trader exodus in London, Singapore; Vitol bought core of oil business based in Americas in Oct. Noble Group is closing down its London oil desk and winding down its Asia oil operations, sources familiar with the matter said, as heavy losses and high debt force what was once Asia's biggest commodities trader to restructure. The closures follow the sale of its larger U.S. oil trading business to Vitol, announced in October, and a nine-month loss of some $3 billion reported in November. Since then, Noble has been winding down its remaining oil trading operations in London and Singapore, with many key traders leaving to join competitors. "That (U.S.
Unipec Expands London Oil Trading Desk
China's Unipec, the trading arm of Asia's largest oil refiner Sinopec, has hired two former traders from commodity trader Noble Group to join its middle distillates desk in London, according to two sources with knowledge of the matter. Shaun O'Donnell and Anup Kundaiker began their new jobs on Wednesday, according to one of the sources. Unipec also hired Ross Warden, formerly part of Noble's distillate operations desk, as a blending operator, one of the sources said. Sinopec could not be reached for immediate comment. Reporting by Ahmad Ghaddar and Ron Bousso
Fitch Lowers Noble Group Rating
Fitch Ratings cut commodity trader Noble Group's debt rating on Friday to two notches above default, citing the company's commencement of discussions on a debt restructuring. The agency lowered the rating by a notch to 'CC', which according to its rating criteria defines a situation where "default of some kind appears probable". Fitch previously had rated Noble 'CCC', which stated that "default is a real possibility". Noble has started talks with stakeholders to restructure its debt and secure trade finances in a bid to keep its business running, just weeks after it agreed to sell some assets and flagged a massive loss.
Noble Group says Jeffrey Frase Resigns as co-CEO
Beleaguered commodities trader Noble Group said on Monday that Jeffrey Frase resigned as co-chief executive officer (CEO) and global head of oil liquids. William Randall, who served alongside Frase as co-CEO, will assume the role of chief executive, the company said in a statement. Randall and Frase were appointed as co-CEOs in May 2016 after the resignation of Yusuf Alireza as chief executive of the Singapore-listed company. Noble in October said it would sell its Americas-focused oil trading business, headed by Frase, to Vitol for about $580 million, as part of a debt-cutting strategy. The sale is expected to be complete by the end of December.
Noble Group sells Oil Unit to Vitol
Oil liquids unit to be sold for about $580 million. Struggling commodities trader Noble Group agreed to sell its Americas-focused oil trading business to Vitol for about $580 million as part of a debt-cutting strategy, and warned of a big loss for its third quarter. Monday's move came after Reuters reported late on Friday that Vitol, the world's largest oil trader, was nearing a deal to buy Singapore-listed Noble's oil liquids unit. Noble, whose founder Richard Elman took advantage of a commodities bull run to build it into one of the world's biggest traders after starting it in 1986…
Vitol Close to Acquiring Noble's Oil Business
The world's largest oil trader Vitol Group is nearing a deal to buy Noble Group's global oil liquids business, which analysts had valued at about $1 billion, three people familiar with the matter said on Friday. One of the sources said an announcement of the deal could come as early as Monday. Shares of Noble Group were halted in the afternoon, pending the "announcement of a major transaction," the company said. Vitol and an external spokeswoman for Noble declined to comment on the Reuters story. Reuters reported in August that trading firms including Mercuria Group and Vitol were among the suitors for the oil unit.
Where's the Money? Oil Traders Ask as Peak Demand Looms
Traders still see opportunities in oil trading as Mercuria bets on power markets in U.S., China. For major trading houses that ship millions of barrels of oil every day, the prospect of diminishing fuel demand and a shift to renewable power poses a brain-racking challenge with few obvious solutions. "It is a very fair question - what the hell are we going to do?" said Ian Taylor, chief executive of the world's top oil trader Vitol, which trades seven percent of the world's oil. "It's not obvious. We will still have a business, I'm sure, but it may well be a very different business," he told the Reuters Commodities Summit.
Swiss Traders Grab $10 Billion Slice of LNG Market
Traders mopping up LNG glut, finding new emerging market buyers. Swiss trading houses are muscling in on the global market for liquefied natural gas, until now the preserve of energy giants, and expect to grab a $10 billion share of the rapidly growing business this year. Trafigura, Gunvor, Vitol and Glencore are all shaking up a decades-old system dominated by Western oil majors and state energy producers which sell LNG directly to large consumers on long-term contracts. They plan 2017 shipments that will be more than triple the 2015 level, according to Reuters calculations based on figures for the four traders provided by trade sources.
