a group of Temes Water Investors have introduced a sweet rescue deal for the struggling supplier, investing an additional £ 1 billion and writing more than a quarter of loans in exchange for more generous performance goals.
London & Valley Water – A Union of the main creditors of suppliers including investors and financial institutions – said it would write loans organized by other creditors, about 25% of the previous proposal, £ 4 billion, or 25% of 25%.
With an additional £ 150 million new equity, lenders said they are pumping in another investment at the top of the proposal presented to the regulator. Fear In May.
The new bid “is more ambitious, provides greater value for customers and follows three months of discussion to help the customers move around the water and to help the Temes rotate around the water and to remove the need for temporary nationalization.
The Tems Water-16 million is on the verge of Britain’s largest water supplier-pattern with 16 million customers and 8,000 employees as it struggles under a loan of a £ 20 billion.
The creditors want to secure support for their plans to avoid being put into a temporary special administration governance (SAR), which will effectively erase their investment.
He said that additional investment “will ensure long -term financial flexibility” and also the existing fine will cover the Temes water, which should pay for regulatory and pollution failures.
London and Valley Water finally planned to swim on the stock market, but vowed to sell the company before 31 March 2030 to focus on turnarounds.
However, this proposal comes with an effective ultimatum for this to accept pollution incidents and renaissance goals on water leaks in exchange for investment.
The group is also pressurizing for a sharp decision, taking care “will increase the challenges of distributing the company’s change”.
Owat is now reviewing the latest proposal along with other regulators.
Landholders are now the owners of post -water later water High court A financial reorganization was approved earlier this year, to ensure that it can ensure that it could last up to summer of 2026 to ensure that it could ensure.
Firms, including UK and American investment companies such as Elliot Management, Aberdeen Investments and American Private Capital firm Apollo Global Management, on Wednesday presented their better bid plans for regulatory plans.
Infrastructure Expert Mike Mc McCighe is named as the proposed new chairman of Temes Water, the dialect should be accepted, with five non-executive directors in place of Sir Adrian Montegue to join the board.
It is believed that the latest board will decide on whether the executive team is to be maintained, including Chief Executive Chris Weston.
Mr. McCighe said: “From day one, we will inject billions in new investment, strengthen the balance sheet of Tems Water, replace the company for thousands of hard -working frontline employees and start delivery of an operational turnout that first puts 16 million customers and environment.
“With committed and veteran new investors, the new board’s collective focus under the London and Valley Water scheme will be on fixing the foundation, reducing pollution and reconstruction of the public trust to once again be a reliable, flexible and responsible company by the end of this decade.”
Owat said that it would “continue to join them and carefully review their plans”.
Temes Water Boss Shri Weston said: “Today is an important milestone in our ongoing work with creditors and stakeholders, which is to secure the market -led recapitalization that establishes the financial and regulatory foundations required to improve investment and performance that our customers expect.”
The Consortium stated that they would pump in Temes water in a new equity of £ 3.15 billion and are committed to providing £ 2.25 billion in the new loan.
Also their debt loss, they will write about a loan of £ 1 billion organized by the so -called class B Bondolders, as well as a 2.5 billion pounds of 2.5 billion pounds collected by the holding company of Tems Water.
The creditor group last month set a plan that they would distribute £ 20.5 billion at the planned expenses, raising above the people agreed without the need of a bill, although it included more “realistic” performance targets.
The current management of Temes Water has earlier stated that it would require more than 24 billion pounds for the next five years and agreed to increase bills of more than the oven.
A previous proposed rescue deal with the American private equity giant KKR collapsed in May, fearing a adjacent temporary nationalization, but Government It has emphasized that its priority is for “market-based solutions”.
The GMB Union said that any turnout plan has to be “guaranteeing jobs, salary and pension and cleansing the environment” to ensure the government and the ovat to ensure investors in these areas.