Global energy firm Noble Group is in the market with a $2.5 billion, one-year borrowing base revolving credit facility that will refinance existing debt due later this year, banking sources told Thomson Reuters LPC.
The renewal of Noble loans is eagerly watched by the market as the most important development this year for the embattled trader of commodities from iron ore to oil, which suffered a dip in investor confidence over the past year.
The loans that have Noble Americas as borrower include a $1.5 billion committed loan and a $1 billion uncommitted loan, which lenders can refuse to provide.
The facility that is being arranged by MUFG was offered to bank investors in New York on March 7. It will refinance and combine two existing loans including a $1.1 billion letter of credit facility and a $1 billion existing revolver.