Thames Water Creditors Propose One Billion Dollar Payout

A proposed takeover by senior creditors could see Thames Water pay one billion dollars in fees and interest as part of a major recapitalization plan. The deal includes three billion pounds in new equity and debt to stabilize the utility and fund asset improvements through 2030.

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Thames Water could pay £749 million ($1 billion) in fees and interest if a creditor-led takeover deal is finalized. The proposal hands control of the utility to senior lenders to secure a £3.35 billion equity injection and stabilize the company's finances. This restructuring is critical to prevent the collapse of the United Kingdom's largest water supplier and ensure continued service for millions of customers.

### The High Price of Financial Stability The total cost includes £160 million in fees to senior creditors and £254 million in other administrative expenses, per a creditor submission cited by the Financial Times. Thames Water would also pay about £285 million in accrued interest upon deal completion. Another £50 million is earmarked for fees owed to additional creditor groups.

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