Bloomberg News

Noble Loan Receives More Than $2 Billion in Bank Commitments

May 03, 2012

Noble Group Ltd. (NOBL)’s loan has received more than $2 billion in commitments from banks, according to Wildrik De Blank, the company’s group treasurer.

The Singapore-listed commodities trader began marketing a $1.5 billion loan to banks in general syndication in March after hiring 17 banks to help organize the facility, according to an e-mailed statement dated March 23.

“We’re well over $2 billion,” De Blank said at a Euromoney Seminars’ loan conference in Hong Kong today. “We brought pricing to a level we thought at least it keeps us competitive with some of the larger players in our space, and those players are mostly based in Europe and the U.S.”

Noble invited banks to join in syndication with commitments of $75 million or more on a 364-day tranche of the loan for a so-called all-in payment of 190 basis points more than the London interbank offered rate and 290 basis points more than that rate on a three-year portion, a person familiar with the matter said on March 23.

The company’s $1.25 billion of 6.75 percent notes due 2020 yield 7.175 percent, according to BNP Paribas SA prices on Bloomberg.

De Blank said Noble wants to “be as diversified as we can in terms of our funding structure.”

“We go across the spectrum in terms of the capital markets and we look for alternative sources as well,” he said. “Increasing diversity is getting important.”

To contact the reporters on this story: Wendy Mock in Hong Kong at wmock3@bloomberg.net; Michelle Yun in Hong Kong at myun11@bloomberg.net

To contact the editor responsible for this story: Shelley Smith at ssmith118@bloomberg.net


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