Noble Group Reports Sale Of NAES To Calpine For $1.05 Bln

(RTTNews) - Noble Group Limited (NOBGF.PK) announced the sale of its Noble Americas Energy Solutions subsidiary or NAES to Calpine Corp. (CPN) in a deal valued at $1.05 billion. Noble expects the NAES transaction to close in December 2016.

The consideration consists of $800 million plus repayment to Noble of NAES working capital at closing.

The divestiture releases approximately $275 million in Letters of Credit and Surety Bonds representing additional working capital which will become available to Noble.

In addition, operating cash flows from NAES will continue to accrue to Noble up until closing of the transaction.

"The sale of NAES substantially completes the $2 billion capital raising initiative that we announced in June", said Noble's Co-CEOs, Jeff Frase and Will Randall. "With this divestiture, Noble will continue to reduce debt while also funding growth opportunities in our high return businesses" added Frase and Randall.