Iain Gilbert Sharecast News
23 Sep, 2024 10:36 23 Sep, 2024 10:43

Thames Water 'to receive £1bn lifeline'

dl thames water at work in muswell hill, london
Philafrenzy via Wikimedia Commons

Britain's largest water provider Thames Water will receive a much-needed £1.0bn lifeline by creditors before the end of the year, according to the Times.

Multiple hedge funds and institutions, which hold roughly £10.0bn of Thames Water's debt, believe the company needs a stop-gap cash infusion in order to stabilise the business before it enters into full restructuring mode.

Thames Water's financing will likely take the shape of loans or bonds with "super senior status" and will come complete with high interest rates.

The utility giant, which has been teetering on the brink of collapse since March, had a net debt position of £15.0bn and roughly £1.57bn of liquidity as of 31 August.

Reporting by Iain Gilbert at Sharecast.com

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