Thames Water Utilities
Limited
17 December 2024
Liquidity Extension Update -
Valuation Report and Relevant Alternative Report
Thames Water Utilities Limited
("TWUL") previously
announced that a convening hearing in relation to the restructuring
plan proposed by Thames Water Utilities Holdings Limited (the
"Plan Company") pursuant to
Part 26A of the Companies Act 2006 (the "Plan") in connection with implementing
the liquidity extension transaction (the "Liquidity Extension Transaction") will
take place today at 10.30am (the "Convening Hearing").
The Convening Hearing is for an
order granting the Plan Company certain directions in relation to
the Plan, including permission to convene a number of meetings of
creditors of the Plan Company affected by the Plan (the
"Plan Creditors") for the
purposes of considering, and, if thought fit, approving the
Plan.
Following the Convening Hearing
the Plan Company will make available to the
Plan Creditors, prospective buyers, transferees, and
sub-participants of that debt (or similarly interested
parties) an explanatory statement in
connection with the Plan (the "Explanatory Statement")
via the Plan Website at https://deals.is.kroll.com/thameswater.
The Explanatory Statement will outline the Plan Company's proposed
restructuring plan, its proposed effects and next steps for Plan
Creditors, including in relation to voting at the Plan meetings and
other key steps required to implement the Liquidity Extension
Transaction.
The Plan Company has instructed Eraj
Weerasinghe of Kroll, LLC and Matt Cowlishaw of Teneo Financial
Advisory Limited to prepare independent expert reports to
respectively: (i) value the business of the Thames Water Group in
various scenarios (the "Valuation
Report"); and (ii) on the basis of those values, consider
the likely outcome for Plan Creditors under the Plan and in the
Relevant Alternative (the "Relevant Alternative Report"). The
Valuation Report and Relevant Alternative Report have been made
available via the Plan Website at https://deals.is.kroll.com/thameswater
and will be appended to the Explanatory
Statement.
Creditors should contact the
Information Agent at thameswater@is.kroll.com
with any questions on accessing the Explanatory
Statement.
CREDITORS ARE ENCOURAGED TO REVIEW THE VALUATION REPORT AND
RELEVANT ALTERNATIVE REPORT (COPIES OF WHICH ARE AVAILABLE
AT HTTPS://DEALS.IS.KROLL.COM/THAMESWATER)
AND, WHEN AVAILABLE, THE EXPLANATORY STATEMENT AND SEEK THEIR
OWN LEGAL AND FINANCIAL ADVICE SHOULD THEY HAVE ANY QUERIES IN
RELATION TO THEIR CONTENTS
Background
TWUL announced the launch of a
liquidity extension transaction ("Liquidity Extension Transaction") and a transaction support
agreement ("TSA")
on 25 October 2024.
As at 16 December 2024, over 75% by
value of the Class A Debt (Make-Whole) Providers, the Class A Debt
(Non-Make-Whole) Providers and the Currency Hedging Providers have
acceded to the TSA.
Creditors are encouraged to accede
to the TSA by the record date for the Plan to access a non-cash
consent fee (capitalised in its respective position in the
waterfall). Creditors should contact the Lock-Up Agent (as defined
in the TSA) at thameswater@is.kroll.com
with questions on how to accede to the
TSA.
For further information
Investor enquiries
Frederick Maroudas - Director of
Corporate Finance
debt.investorrelations@thameswater.co.uk
Media enquiries
Suvra Jans - Head of Media
Relations
suvra.jans@thameswater.co.uk
M: 07747 640 810