Iceberg warns bargain-hunters

IN its third and final report on Noble Group, little-known company Iceberg Research warned bargain-hunters from picking up shares in the commodity trading giant. It said Noble's debt was higher than it seems, took issue with its corporate governance, and valued the company at S$0.10 a share. The low valuation is mainly due to what Iceberg alleges are US$3.8 billion worth of overstated fair value gains that result from marking commodity contracts to market prices.

Iceberg previously said the contracts did not generate enough cash. Noble, meanwhile, had countered tha…