Eskom Wants South Africa to Take Over Majority of its Debt

  • Utility tells investors it wants guaranteed debt transferred
  • Eskom says it can only sustain 150 billion rand of debt
Photographer: Waldo Swiegers/Bloomberg
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Eskom Holdings SOC Ltd. has told bondholders that it wants the majority of its 440 billion rand ($29 billion) of debt transferred to the South African government.

The struggling state power utility can only sustain 150 billion rand of debt, company executives at a road show in London on Wednesday told investors, said Ksenia Mishankina, a senior credit analyst at Union Bancaire Privee Ubp SA, who attended the meeting. The discussions follow the announcement last week of Eskom’s record 20.7 billion rand annual loss.