Thames Water Creditors Take Rescue Deal to Ratings Firms for Nod

Thames Water’s senior creditors are seeking approval from ratings agencies for a crucial rescue plan that would prevent the ailing utility from slipping into insolvency, people with knowledge of the matter said.

A proposal to inject billions of pounds into Thames and take steep writedowns was put forward in October, and has since been revised following months of discussions with regulator Ofwat. Creditors must now bring the agencies on side to finalize a deal, since the utility needs to secure investment-grade ratings to meet its license conditions.