As the company and its advisors attempt to prevent what would rank among the most significant insolvencies in recent British corporate history, News has learned that the water utility’s Class B bondholders, which are reportedly Aviva, BlackRock, and MetLife, will table a proposal as early as Tuesday.
The group is anticipated to contend that their offer will be far less expensive than one made late last week by Class A, or more senior, creditors supported by Thames Water, which comprised £1.5 billion in guaranteed cash and an additional £1.5 billion in provisional funds.
According to the Class B group’s calculations, Thames Water could save almost £375 million in interest and fees over the course of a year if it accepts their plan.
According to insiders, they estimated that the Class A group, which consists of the American hedge funds Silverpoint and Elliott Advisers, would make about £650 million during that period.
Chris Weston, the CEO of Thames Water, stated this week that the Class B group’s recommendations, which include interest-bearing loans for finance.
