Goldilocks backs Noble's restructuring plan

They've also teamed up to faciliate Noble's Middle East expansion.

Embattled commodities firm Noble Group has secured the support of top shareholder Goldilocks for its restructuring efforts after months of exchanging barbs. 

“Goldilocks has given its support for the Restructuring and has provided the Company with an irrevocable undertaking in connection with such support,” the company said in a statement.

Goldilocks, which holds approximately 8.1% of the company shares, is also entitled to nominate one member to the board of directors of the newly restructured firm, New Noble.

Noble also elected to increase the amount of equity shareholders can hold in New Noble from the earlier discussed 15% to 20%. The remaining equity will be 70% held by the senior creditor special purpose vehicle (SPV), and 10% by the management SPV.

Noble via its subsidiary Noble Resources International Pte Ltd has also forged a strategic agreement with Abu Dhabi Financial Group affiliate ADCM Resources Ltd regarding its expansion into the Middle East.

ADCM will lend support to the commodities firm by providing business connections, trading partners and assistance in capital formation and financing. The partnership agreement is set for an initial term of four years.

Abu Dhabi Financial Group is Goldilocks parent company.