Politics
Thames Water, Creditors Offer Pimco a Compromise on New Debt
Key Points
EXCLUSIVE Thames Water, Creditors Offer Pimco a Compromise on New Debt Thames Water and some of its creditors have offered Pacific Investment Management Co. a compromise in exchange for the asset manager’s endorsement of a deal to raise £2.4 billion ($3.2 billion) of additional rescue debt. The ailing utility said last week that it was looking to increase its super-senior facility to £5.4 billion in order to stay afloat. Pimco, which only holds Thames Water’s top-ranked debt, was concerned...
EXCLUSIVE
Thames Water, Creditors Offer Pimco a Compromise on New Debt
Thames Water and some of its creditors have offered Pacific Investment Management Co. a compromise in exchange for the asset manager’s endorsement of a deal to raise £2.4 billion ($3.2 billion) of additional rescue debt.
The ailing utility said last week that it was looking to increase its super-senior facility to £5.4 billion in order to stay afloat. Pimco, which only holds Thames Water’s top-ranked debt, was concerned that its position would be diluted, according to people familiar with the matter, as the additional amount was set to be allocated proportionally between the super-senior creditors and holders of lower-ranking Class A and Class B debt.