Thames Water secures creditor support for liquidity plan

Published 01/07/2025, 11:27 AM

LONDON - Thames Water Utilities Limited (TWUL) has garnered significant creditor backing for its proposed liquidity extension transaction, with approximately 89% of its secured debt holders, representing around £16.5 billion, consenting to the transaction support agreement (TSA) as of Monday. This includes majorities across various creditor classes such as Class A Debt providers and hedging providers.

The company's restructuring plan, led by Thames Water Utilities Holdings Limited (TWUHL), is part of a legal framework under Part 26A of the Companies Act 2006. A court hearing on December 17, 2024, approved the convening of creditor meetings to vote on the plan.

In response to a practice statement letter published today by certain Class B Creditors proposing an alternate restructuring plan, TWUL clarified that this letter is neither authorized nor approved by TWUL or TWUHL. The company's leadership is focused on proceeding with the original plan, aiming to stabilize the business and secure favorable outcomes for customers, the environment, UK taxpayers, and the economy.

Creditors involved in the TSA are contractually obligated to support the company's plan and are advised to seek independent legal and financial counsel on these matters.

This development is pivotal for Thames Water as it seeks to reinforce its financial position amid broader industry challenges. The information is based on a press release statement and has not been independently verified.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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