Thames Water secures creditor support for liquidity plan

Published 18/12/2024, 12:48 am

LONDON - Thames Water Utilities Limited (TWUL) has confirmed creditor approval for an amendment to its transaction support agreement (TSA) related to a liquidity extension transaction. The modification, which pertains to the treatment of certain hedging agreements, was announced on December 13, 2024, and is now effective following the consent process initiated on October 25, 2024.

Creditors representing over 75% of various debt and hedging provider classes have acceded to the TSA. This includes Class A Debt (Make-Whole) Providers, Class A Debt (Non-Make-Whole) Providers, Currency Hedging Providers, and Interest Rate and Index Hedging Providers.

The liquidity extension transaction is part of a broader restructuring plan under Part 26A of the UK Companies Act 2006, known as the "Company RP." Thames Water's parent company, Thames Water Utilities Holdings Limited (TWUHL), issued a practice statement letter on November 22, 2024, detailing a convening hearing for implementing the restructuring plan.

The TSA and the liquidity extension transaction are accompanied by a backstop agreement concerning an initial tranche of super senior funding. This financial restructuring aims to provide the company with enhanced liquidity and stabilize its financial position.

TWUL's Director of Corporate Finance, Frederick Maroudas, is available for investor inquiries, while Suvra Jans, Head of Media Relations, can be contacted for media-related questions.

The announcement, which contains information previously considered inside information under UK Market Abuse Regulation, was made public by Chris Weston, a director at Thames Water Utilities Limited.

This report is based on a press release statement and contains no promotional content. The information provided herein is factual, and the article has been written to reflect the recent developments in Thames Water's financial restructuring efforts without speculation or endorsement of the company's claims.

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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