Photographer: Nicky Loh/Bloomberg
Noble Group Rout Crushes Trader's Market Value to $150 MillionBy
Noble Group’s Ltd.’s market value has been whittled down to just $150 million as investors assess whether the embattled commodity trader can manage to renegotiate its debt burden with banks, funds and bondholders.
The shares slumped for the seventh time in eight days on Tuesday, losing as much as 5 percent to 15.2 Singapore cents. At its peak, the Hong Kong-based trader was worth more than $10 billion.
The company, which has been in a downward spiral since 2015, has opened restructuring talks with holders of $3.5 billion in debts. Still, a default by Noble Group now “appears probable,” according to Fitch Ratings Inc.
The relentless retreat in the shares -- which have sunk more than 90 percent this year as the company sold more assets and reported further losses -- has crushed the value of holdings, including stock held by founder Richard Elman.