Thames Water has won court approval for an emergency debt package worth up to £3bn that should stave off the collapse of Britain’s biggest water company for at least another few months.
One group, holding almost £12bn of class A debt, included investors such as Abrdn and Insight Investment as well as hedge funds and other investors in distressed companies such as Elliott and Silver Point.
Thames had argued in court that it would run out of money on 24 March if the emergency debt deal did not go through.
The deal will give Thames £1.5bn in upfront cash, plus up to £1.5bn more to see it through an appeal to try to increase bills by more than the 35% allowed by the industry regulator for England and Wales, Ofwat.
London’s high court said on Tuesday the deal could proceed, after hearing four days of complex arguments earlier this month over whether it should go ahead.
