Noble Supply & Logistics - Chapter 11 Case Summary

Noble Supply & Logistics filed for Chapter 11 with approximately $292 million of funded debt and roughly $250 million of trade payables outstanding. The filing follows the Defense Logistics Agency's non-renewal of the $1.2 billion FSG-53 aerospace supply contract and other key programs, its August 27, 2026 termination of approximately $400 million of orders under Noble's largest contract by revenue, the working capital squeeze created by the FSG-53 ramp-up, and a seven-week federal government shutdown. Noble intends to run a going-concern sale process, targeted for completion in approximately 75 days, in parallel with an orderly liquidation of inventory and receivables.

Business Description

Noble Supply & Logistics, LLC and ten affiliated debtors (collectively, "Noble" or the "Debtors") comprise a Boston-based government supply and logistics business that has supported the United States Department of War for over twenty years, acting as a global supplier of mission-critical, non-lethal military equipment and services to the U.S. military and its allies. Noble is the fifth largest prime vendor to the Defense Logistics Agency (the "DLA") and a partner of the General Services Administration (the "GSA"), which manage the supply chain for the U.S. military, as well as certain federal and state agencies, including the Federal Bureau of Investigation and the U.S. Department of State. Its logistical network connects over 4,000 government customers to over 15,000 vendors.

Notwithstanding the scope of the enterprise, Noble qualifies as a small business under the Small Business Act and operates under several small business set-aside contracts ("SBSAs").


Corporate History

Thomas W. Noble, III founded the business in 2003, and it grew primarily through organic expansion until 2021, when two acquisitions transformed it. In March 2021, Noble acquired Tactical & Survival Specialties, LLC ("TSSi"), a supplier of tactical equipment with an early-stage aerospace business. In October 2021, Noble acquired Federal Resources Supply Company, LLC ("Federal Resources"), a market-leading supplier of chemical, biological, radiological, nuclear, and explosives ("CBRNE") products with growth potential in the command, control, computers, communications, cyber, intelligence, surveillance, and reconnaissance sector ("C5ISR"), creating the current enterprise. Noble financed the Federal Resources acquisition with proceeds from a newly incurred term loan facility, subordinated note, and seller note.

The two acquisitions diversified Noble's product line and scaled its operations to make it the DLA's fifth largest prime vendor. In July 2022, Noble won the $1.2 billion FSG-53 Contract, its largest single-award contract, to supply the DLA with aerospace products over a ten-year term.

Corporate Structure

The organizational structure reflects the series of acquisitions and financing transactions undertaken over many years. Non-Debtor Noble Holdco, Inc., a Delaware corporation wholly owned by founder and CEO Tom Noble, sits at the top. Below the ultimate parent is intermediate holding company Debtor Noble Equity Holdings, LLC, followed by Debtor Noble.com, LLC, which directly or indirectly owns the remaining Debtors.


Operations Overview

Noble's contracts fall into two core types. High Touch Customer Solutions ("HTCS") represents 70% of the business and comprises over 100 multi-award contracts, awarded to multiple parties who then compete for individual task orders, through which Noble provides an indefinite quantity of supplies or services over a one- to ten-year period without a specified order schedule or minimum volume, covering vehicles, communications equipment, safety equipment, and tactical gear. These are "Indefinite Delivery, Indefinite Quantity" or "IDIQ" contracts. HTCS work is sales-force driven and involves securing competitive pricing arrangements from suppliers to win bids from government customers; because vendors typically drop-ship supplies directly to Noble's customers, these contracts do not require considerable capital investment.

Global Supply Chain Programs ("GSCP") represents the remaining 30% and comprises twelve single-award, five- or ten-year IDIQ contracts under which Noble procures, warehouses, and distributes the products specified in the underlying contract. Through GSCP, Noble is the exclusive provider of maintenance, repair and operations ("MRO") services for two of eighteen MRO zones within the United States and holds contracts to provide MRO services to U.S. military and allied customers in Europe, Asia, and the Middle East. The GSCP portfolio included, prior to its termination in June 2026, the single-award FSG-53 Contract, under which Noble agreed to provide the DLA with hardware and abrasives used in multiple aerospace weapons systems. Because GSCP requires Noble to warehouse and distribute product itself, the business demands significant investment in both physical locations and working capital.

The contract base spans DLA troop-support and tactical-gear programs, GSA Multiple Award Schedule contracts, and direct agency task orders across MRO and expeditionary/tactical equipment categories. Noble's contracts are primarily with DLA Weapons Support, which provides weapons support for U.S. air, land, and sea operations, and DLA Troop Support, which is responsible for supply chains providing military personnel with subsistence, medical supplies, clothing and textiles, and construction equipment.

Business Lines and 2025 Revenue

Footprint and Workforce

As of a July 24, 2026 employee census, Noble had approximately 294 active employees across 19 locations. These include the corporate headquarters in Boston, Massachusetts (60 employees); a distribution warehouse in Olive Branch, Mississippi (46 employees); and additional personnel at, among other locations, Lexington and Harrisonburg, Virginia, a facility in Holly Springs, Mississippi, Noble Germany in Kaiserslautern, Germany, and government depot and warehouse locations including Letterkenny Army Depot and Anniston Army Depot. Noble serves customer inventory needs through two warehouses based in Mississippi.

The geographic footprint includes operations centers providing logistical and operational support to end customers from Poland, to Kazakhstan, to Okinawa, supported by sales and operations centers located in Virginia and Maryland serving key federal government customers.


Prepetition Obligations

As of August 28, 2026, the Debtors had approximately $292 million in total funded debt outstanding, including accrued and unpaid interest on the principal amount under each credit facility. Each of the three secured facilities is dated October 26, 2021; the agents, lenders, and holders under those facilities are referred to collectively as the "Prepetition Secured Parties."

Type Maturity Approximate Amount Outstanding as of August 28, 2026
Secured Debt
Prepetition ABL Facility September 30, 2026 $1,163,196.07
Prepetition Term Loan Facility June 11, 2027 $134,263,177.81
Prepetition Subordinated Note June 11, 2030 $120,200,000.00
Total Secured Debt $255,626,373.88
Unsecured Funded Debt
Seller Note June 11, 2031 $36,688,467.00
Total Funded Debt $292,314,840.88

Prepetition ABL Facility

Noble.com, LLC and certain of its subsidiaries are borrowers, and the remaining Debtors guarantors, under an Amended and Restated Credit Agreement dated as of October 26, 2021 (the "Prepetition ABL Credit Agreement") with JPMorgan Chase Bank, N.A. as administrative agent (the "Prepetition ABL Agent"). The facility is a senior secured asset-based revolver with an aggregate commitment of $85 million, accruing interest at Adjusted Term SOFR plus 3.75%, with the lenders entitled to increase the applicable margin by 2% upon an event of default. Borrowings are secured by a lien on substantially all of the Debtors' assets. The facility was scheduled to mature on July 31, 2026, and the Prepetition ABL Agent agreed to extend the maturity date to September 30, 2026 as part of a prepetition forbearance agreement. Approximately $1.2 million remained outstanding as of August 28, 2026, and the Debtors' ability to draw further amounts was terminated that same day following their repayment of revolving loans under the facility.

Prepetition Term Loan Facility

Noble.com, LLC and Noble Supply & Logistics, LLC are borrowers, and the remaining Debtors guarantors, under a Financing Agreement dated as of October 26, 2021 with Blue Torch Finance LLC as administrative and collateral agent (the "Prepetition Term Loan Agent") and the lenders from time to time party thereto (the "Prepetition Term Loan Lenders"). The senior secured term loan facility carries an aggregate principal amount of approximately $126.8 million, accrues interest at either SOFR plus 9.25% or Reference Rate plus 8.25% at the election of Noble Supply & Logistics, LLC, and matures on June 11, 2027. The obligations are secured by substantially all of the Debtors' assets, and approximately $134.3 million remained outstanding as of August 28, 2026.

Intercreditor Arrangements

An Intercreditor Agreement dated as of October 26, 2021 among the Debtors, the ABL agent, and the term loan agent governs relative lien priorities and enforcement rights, dividing the collateral into two categories. ABL Priority Collateral consists primarily of accounts receivable, inventory, cash, deposit accounts, and related general intangibles; Term Loan Priority Collateral consists of all other common collateral, including real property, equipment, equity interests, and intellectual property. The ABL agent holds a first-priority lien on ABL Priority Collateral and the term loan agent a first-priority lien on Term Loan Priority Collateral, with each agent holding a second-priority lien on the other's priority collateral.

Prepetition Subordinated Note

Under a Securities Purchase Agreement dated as of October 26, 2021 among Noble Supply & Logistics, LLC, Noble.com, LLC, and Noble Equity Holdings, LLC as issuers, the remaining Debtors as guarantors, and Alter Domus (US) LLC as collateral agent (the "Prepetition Subordinated Note Agent"), the holders of the note (the "Prepetition Subordinated Note Holders") provided $60 million in financial accommodations. The note bears interest at 10.25% paid-in-kind and matures on June 11, 2030. The obligations are secured by substantially all of the Debtors' assets and are subordinated to the ABL and term loan obligations pursuant to a Subordination and Intercreditor Agreement dated as of October 26, 2021. In June 2025, Noble issued an additional note to the same holders in the principal amount of $25 million under the same agreement. Beyond increasing the principal balance, the holders received warrants to acquire approximately 4.95 million shares of the Debtors' equity interests, which have not been exercised. Approximately $120.2 million remained outstanding as of August 28, 2026.

Seller Note

Debtor Noble.com, LLC issued a Subordinated Unsecured Promissory Note to certain former stakeholders of Federal Resources in the aggregate amount of $25 million on October 26, 2021. It bears interest at 8% per annum and matures on the earlier of one year after the latest maturity date of the ABL facility, term loan facility, and subordinated note; a change of control; or one year after payment in full of the prepetition secured obligations. The note is wholly unsecured and contractually subordinated to the prepetition secured obligations, with an outstanding balance of approximately $36 million as of August 31, 2026 (the "Petition Date").

Unsecured Claims

Unsecured liabilities consist primarily of trade payables owed to vendors and suppliers, with accounts payable owing to vendors totaling approximately $250 million as of the Petition Date. The Debtors also owe approximately $2.9 million for employee-related obligations, approximately $50,000 on account of various tax obligations, and approximately $200,000 on account of non-residential lease obligations relating to their facilities. The Debtors continue to analyze the full scope of their unsecured liabilities, with a more detailed description to follow in the Schedules of Assets and Liabilities and Statements of Financial Affairs.

Government Investigations

Noble is subject to investigations by government agencies, including the United States Department of Justice (the "DOJ"). The Declaration states that Noble does not believe any of the investigations are material to its business and that Noble intends to cooperate fully until the matters are resolved.


Events Leading to Bankruptcy

The Declaration attributes the Debtors' distress to a series of interrelated operational and financial challenges from 2022 through 2026: declining revenue from the DLA's decision not to renew certain key contracts; significant liquidity constraints arising from the expansion of the procurement business, which required substantial capital investments and a one-year transition period during which Noble was unable to generate revenue from its largest single-award contract; and broader macroeconomic pressures on the defense industry, including a seven-week government shutdown beginning in October 2025 and general budget restrictions that limited purchases by federal government customers. Although Noble implemented operational improvement initiatives and attempted to raise additional working capital, by the middle of 2026 it became clear that bankruptcy protection would be needed.

The FSG-53 Ramp-Up and Working Capital Squeeze

The FSG-53 Contract constituted a massive expansion of the GSCP portfolio. Unlike the core HTCS contracts, which rely primarily on vendors drop-shipping product directly to customers and require comparatively little working capital, GSCP contracts require extensive capital investment to procure, store, and ship product. Noble invested tens of millions of dollars leasing the Olive Branch, Mississippi distribution warehouse, training employees, investing in automation technology, and purchasing inventory. Those ramp-up expenses, incurred in reliance on the contract's ten-year term and the DLA's demand forecast, were compounded when Noble did not receive its first order under the contract until July 2023, a full year after award. Noble received no additional capital from its lenders during the transition period.

Noble nonetheless performed strongly in 2023, fully repaying the then-outstanding balance on the Prepetition ABL Facility. Beginning in early 2024, it considered options to refinance the Prepetition Term Loan Facility to avoid certain burdensome covenants and obligations. Working capital demands continued to intensify given the high cost of capital and the delay in receiving FSG-53 orders, and Noble explored refinancing and capital infusion proposals from various interested parties, including Bain Special Situations, which ultimately failed to close on concerns over anticipated levels of future federal defense spending, among other challenges.

Liquidity constraints and the inability to raise capital forced Noble to delay payments to vendors. The FSG-53 Contract's stringent on-time delivery requirements and long lead-time materials created a lag, often as long as 18 months, between Noble's inventory purchases and the DLA's payment on a contract order. Stretching payables strained vendor relationships, while the DLA became increasingly unwilling to make accommodations or relax the contract's terms.

The DLA Non-Renewals

Matters came to a head in December 2024, when the DLA sent Noble a letter indicating it did not intend to renew the FSG-53 Contract in June 2026 but requesting a two-year base extension to give the DLA time to locate a new supplier. The non-renewal effectively reduced the contract's term from ten years to four and, per the Declaration, significantly devalued the capital investments Noble had made to support it. The Declaration further states that the DLA harmed Noble by not complying with the contract's 24-month closeout procedures or the end-of-contract inventory buyback, leaving Noble with over $70 million in inventory and purchase obligations made in support of the FSG-53 program.

Noble redoubled its efforts to obtain capital from existing lenders in early 2025. In June 2025, the Prepetition Subordinated Note Holders provided an additional $25 million, and the Prepetition Term Loan Agent consented to the factoring of receivables to increase liquidity. Noble reduced operating expenditures by $30 million, sought to optimize inventory, and worked to repair vendor relationships and return to par on accounts payable. Those efforts initially bore fruit and performance was generally strong until October 1, 2025, when Congress failed to pass a budget or continuing resolution and the federal government shut down for seven weeks. Customers stopped placing orders with, and making payments to, Noble during the shutdown, and collection issues continued after it ended on November 12, 2025 because the holiday season is typically a slow period for collections from government customers. Existing orders nonetheless required considerable expenditure, including procuring material and shipping supplies to military units stationed around the world.

Noble worked to regain its footing in early 2026 with its relationship with the DLA, its largest customer, significantly strained. The DLA sent a notice of intent to renew Noble's Fire and Emergency Services Equipment ("FESE") contract in January 2026, then reversed course and issued a notice of non-renewal on March 13, 2026, followed by additional notices of non-renewal of other critical contracts in May 2026. In-person meetings scheduled with DLA personnel to repair the relationship were largely unsuccessful.The Declaration states that these actions deepened Noble's financial distress and undermined stakeholder confidence in the business.

Defaults, SBA Decertification, and Failed Refinancing

The liquidity constraints and the deterioration of relationships with the DLA and product vendors affected Noble's standing with its lenders. On February 14, 2026, the Prepetition Term Loan Agent sent a notice of default and reservation of rights citing defaults related to the Debtors' failure to meet certain inventory milestones and comply with financial covenants for the December 31, 2025 testing period. The Prepetition Subordinated Note Agent sent its own notice of default a few days later, and the Prepetition ABL Agent sent one on March 5, 2026. Noble operated in default of its loan agreements from that point on.

On March 10, 2026, the Small Business Administration (the "SBA") sent Noble a letter in connection with a procurement bid placed with the DLA informing the company that it did not qualify as a small business as of January 20, 2026 — a determination that impacted the business significantly given Noble's dependence on small business status to obtain certain contracts, including SBSAs. The SBA reestablished Noble as a small business on April 28, 2026, after Noble revised its Limited Liability Company Agreement and applied for recertification.

In April 2026, Noble sought to refinance the Prepetition ABL Facility ahead of its July 31, 2026 maturity. Of 19 parties contacted, 17 signed non-disclosure agreements and several provided indications of interest, but Noble was unable to close a transaction given its ongoing operational challenges, tight liquidity, and onerous contract obligations. As working capital demands intensified over the summer of 2026, additional factors weighed on liquidity, including approximately $4.9 million of payments to the Internal Revenue Service on account of 2024 income tax liabilities, increased professional fees related to lender negotiations, and reductions in available credit under the company's credit card program with JP Morgan. Since April 2023 Noble, which is structured as an S-Corp for income tax purposes, has remitted approximately $14.5 million to the Internal Revenue Service on account of income tax liabilities.

The Path to Filing

Noble and its advisors explored strategic alternatives and engaged with existing lenders as well as prospective third-party financing sources and potential purchasers, making concessions to the Prepetition Term Loan Lenders that included retaining Portage Point Partners, LLC ("Portage Point") as financial advisor. The Prepetition Term Loan Lenders formally declined to provide additional financing on July 24, 2026. Noble then sought engagement and support from the DLA, holding a telephonic conference call with key DLA personnel on July 29, 2026 during which it shared sensitive financial information, including the status of lender negotiations, and requested an expedited review for financial support; Noble has not received an indication from the DLA that it is amenable to engaging on prospective solutions.

On July 31, 2026, the maturity date under the Prepetition ABL Credit Agreement, Noble and the Prepetition ABL Agent entered into a forbearance agreement extending the maturity date to September 30, 2026 and agreeing to a budget contemplating limited vendor payments and other critical disbursements necessary to effectuate a pay down of the Prepetition ABL Facility over a six-week period. In light of the wind-down contemplated by that agreement and budget, and the limited prospects for actionable financing or sale alternatives, Noble issued notices to all employees under the Worker Adjustment and Retraining Notification Act on August 10, 2026.

On or about August 11, 2026, Noble's outside counsel held an informal meeting with the DLA to preview the pending submission of a formal claim regarding the FSG-53 Contract under the Contract Disputes Act and attempt to resolve the parties' disputes informally, in the belief that a resolution with the DLA would enhance the company's prospects for securing new working capital. No resolution was reached. On August 27, 2026, the DLA sent Noble a notice terminating approximately $400 million of orders under the SOE contract, a termination Noble is evaluating and currently intends to appeal pursuant to the Contract Disputes Act of 1978 (41 U.S.C. chapter 71).


Chapter 11 Filing

The Debtors filed voluntary Chapter 11 petitions in the U.S. Bankruptcy Court for the District of Delaware on August 31, 2026, with joint administration requested. Robert Albergotti, a Managing Director of Triple P TRS, LLC, which is wholly owned by Portage Point, serves as Chief Transformation Officer of each of the Debtors; Portage Point is proposed financial advisor and Kurtzman Carson Consultants, LLC DBA Verita Global proposed claims and noticing agent.

Dual-Track Sale and Liquidation

Prepetition, Portage Point gauged market interest in a going-concern sale of some or all of the business and in financing to fund a Chapter 11 restructuring or otherwise improve liquidity. Eight parties entered into non-disclosure agreements and received access to a virtual data room and/or conducted in-person or telephonic meetings with Noble and Portage Point, and Portage Point received unsolicited inbound inquiries from potential third-party financing sources. Those processes did not produce a viable third-party financing source or purchaser before the filing.

The Debtors have two primary objectives in these cases: providing continued mission-critical support to military units globally through a consensual resolution of all issues with the DLA, and maximizing value through two parallel paths — a court-supervised marketing and sale process for some or all of the assets on a going-concern basis, and an orderly monetization and liquidation of inventory, receivables, and other assets. Proceeding in parallel rather than sequentially is intended to preserve strategic optionality while allowing orderly asset monetization.

The DLA Disputes

The Debtors intend to continue engaging with the DLA on the FSG-53 Contract disputes, the inventory currently held related to DLA demand plans, and the recently terminated sales backlog. Noble has pursued a claim against the DLA under the Contract Disputes Act to recoup approximately $86 million owed under the FSG-53 Contract. Noble's SOE contract is up for renewal in the fourth quarter of 2026.

First-Day Relief

The First Day Motions seek authority to implement measures to preserve estate value, maintain uninterrupted operations, protect relationships with employees, customers, suppliers, and other constituencies, and facilitate an orderly wind-down and sale process. They comprise motions for: