As per the FT this morning, we are now counting four equity bids for Thames Water: KKR, CK Infrastructure (Hutchinson), Covalis (B-Holder and fronting Suez / Kraken) and
Read MoreAnd Plan A is sanctioned! Thames Water should, therefore, have funding until May 2026. This means the immediate pressure is somewhat off the situation for now, but as per yesterday’s comment, we are awaiting
Read MoreThis week, we should receive Judge Leech’s ruling on the A-Plan (tomorrow) and witness the hearing of the B-Plan on Wednesday. Depending on how that B-Plan hearing goes, we could see the
Read MoreWe would like to see the list of conditions attached to the equity bids that have come in. After Castle Water’s 4bn rescue plan, the Covalis / Suez/ Kraken bid this
Read MoreToday is the big day - in theory. Like most participants, we don’t think that the current state of information and government commitment is far
Read MoreThis is the crucial week, with the sanction hearing scheduled for today through Wednesday. We are highly confident the A-Plan will sail through, as
Read MoreCreditors voted as expected, with the As voting overwhelmingly in favour of the plan and the Bs voting against it, safe for the proportion that is
Read MoreAs we wrote before, Thames Water was always going to use its funding urgency to push its agenda. As a result, the path for the Bs now appears
Read MoreThe Class B practice letter is a valiant attempt to defuse the A’s argument that the B-Proposal is “unimplementable”. The B’s won a stage victory to
Read MoreOfwat’s final determination provides for price hikes of 35% over the next five years - before inflation, very much in line with the recent talk of town. On anyone's math
Read MoreThe company now also has struck an agreement with its swap counterparties to back the restructuring for up-front fees and an additional 1% premium. We are
Read MoreAfter everything that has been discussed and released in recent months, we find little new information in the September accounts that were released
Read MoreWe were discussing on the desk yesterday how one would actually prevent Thames Water from directly or indirectly paying fines with the
Read MoreWe like how the Covalis bid could work with lower price hikes “so long as concessions could be reached on fines and the pace of capital investment in
Read MoreWe are inclined to dismiss the Castle Water offer, despite the large headline tag of £4bn. We don’t have any details beyond what is in the press, but
Read MoreThe fact that the company continues to drive their agreement under the Class A Proposal is a slight setback to the Class Bs, all the more since the
Read MoreThe Class B proposal was submitted to the company last week after finally obtaining commitments from funds within the group. The key difference from the
Read MoreWhile on TW groups are emerging and positioning themselves with or without proposals, Southern Water are only one notch above junk now at
Read MoreThe alternative Class B is now out and we are preparing a scenario in which both sides have a blocking minority in the As and may have to achieve a
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