Shares of embattled commodity trader surged as much as 8 percent on Tuesday, after Goldilocks Investment Company raised its stake in the firm.
The Abu Dhabi fund increased its stake to 8.19 percent from 5.03 percent after adding 41.6 million shares on July 6, according to a filing to the Singapore Exchange on Monday.
There were speculations that large investors may be building stakes, resulting in a sharp upmove in the share prices over the past few days.
The recent stake increase in Noble Group, which is in talks with lenders over an extension to its $2 billion credit facility, allays immediate concerns that the company would default.
The Hong Kong-based company said last month it continued to be in talks with potential investors for a stake sale in the Group or its units.
But the share prices plunged followed by credit ratings downgrades and a series of writedowns.
Noble Group shares are down 62 percent so far this year and has a market capitalisation of just over $300 million from $6 billion in February 2015.
