Noble Group Warns Survival Hangs on Deal After Immense Loss
- EY cites ‘material uncertainty’ over Noble as going concern
- Commodity trader posts full-year loss of $4.94 billion
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Noble Group Ltd. said a controversial debt restructuring was the only hope for survival after a $4.94 billion loss triggered a warning from its auditor that the commodity trader may not be able to continue operating.
Chairman Paul Brough said he had "no magic pill" for investors facing hefty losses under a planned restructuring that would halve Noble’s $3.5 billion debt. He warned that no deal with a strategic investor was likely before the restructuring is completed, and that the alternative to the deal was a court-driven insolvency process that would be "very damaging indeed".