Thames Water Rescue Deal Hangs on Public Nod and Penalty Waivers
Thames Water has faced widespread public anger over chronic leaks and sewage spills.
Photographer: Jason Alden/BloombergA deal on the future of Thames Water will have to face public scrutiny, as its creditors seek a five-year exemption from regulatory penalties on everything from sewage spills to leakage.
Creditors of the UK’s largest water and sewerage company are locked in negotiations with regulator Ofwat to prevent it from sliding into special administration. On Monday, they put forward an improved rescue proposal, offering to inject around £3.35 billion ($4.4 billion) of equity and about £3.25 billion of committed new debt.