Commodities

Thames Water Gets £5 Billion Takeover Bid From Covalis

  • Infrastructure investor would bring France’s Suez on board
  • Bid involves proposal to review Thames Water’s business

A Thames Water van in London.

Photographer: Chris Ratcliffe/Bloomberg
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Infrastructure investor Covalis Capital has submitted a £5 billion ($6.4 billion) bid to take over struggling UK water company Thames Water, according to a person familiar with the matter, as the beleaguered utility races to raise new funding before it runs out of cash.

To finance the proposal, Covalis would provide around £1 billion of funds up front before raising another £4 billion from asset sales, refinancing and the listing, the person said. It would also bring on board French water management company Suez as an operating partner.