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Noble flags objection from Yancoal over terms of restructuring plan
NOBLE Group on Wednesday flagged that Yancoal Australia Ltd and certain of Yancoal's affiliates intend to file objections to the constitution of classes and the schemes under the restructuring plan put out by the commodities firm.
Yancoal, which is labelled as a potential "other scheme creditor", is also set to challenge the jurisdiction of the English courts.
"The company’s advisers note that objections of the nature raised by Yancoal are not uncommon in complex international restructurings," Noble said in its statement. "The board continues to strongly believe that the restructuring is in the best interest of all stakeholders."
Noble said that it expected to issue an explanatory statement to scheme creditors on Oct 16. It has meanwhile applied to both the High Court of Justice of England and Wales, and the Supreme Court of Bermuda to begin scheme meetings. The hearing in London is scheduled on Oct 12, and that in Bermuda on Oct 15.
In August, Noble won overwhelming approval from shareholders to push through with its do-or-die debt-for-equity rescue plan. Under the controversial restructuring plan, Noble will hand over a bulk or 70 per cent of the equity to senior creditors, 10 per cent to management and the rest to existing shareholders.