Noble Shares Reorganization Update

Noble Holding Corporation plc (OTC-PINK: NEBLQ) announced Monday that the United States Bankruptcy Court for the Southern District of Texas has issued an order approving the company's joint plan of reorganization. 

The business said the plan received widespread support from creditors and noted that, upon emergence, it will equitize all outstanding bond debt, which currently totals $3.4 billion, and provide for a new $200 million investment in the form of second lien notes as well as a new $675 million secured credit facility.

Noble outlined that it is working towards emergence as soon as possible upon receipt of certain regulatory approvals, which it said could be received late this year or in early 2021.

“We are pleased to have reached this critical milestone and are eager to continue executing on our strategy,” Robert W. Eifler, the president and chief executive officer of Noble, said in a company statement.

“I would like to thank our creditors, customers, vendors, advisors and employees, whose support throughout this process has been critical to reaching a consensual and efficient restructuring while maintaining our industry leading operations,” he added.

“We look forward to emerging with a significantly improved balance sheet and remain committed to delivering the operational excellence that our customers have come to expect from Noble,” Eifler continued.

On July 31, Noble announced that it had entered into a restructuring support agreement with two ad hoc groups of the largest holders of the company’s outstanding bond debt regarding a consensual financial restructuring transaction. The company said the move would significantly deleverage its balance sheet and position it for long term growth.

Earlier this month, Noble revealed that it had changed its name to Noble Holding Corporation plc to allow the ultimate parent company that emerges from the Chapter 11 reorganization to use the name Noble Corporation plc. The temporary name change will not affect current shareholders, and no action by shareholders is required, the company confirmed.

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