Thames Water Wins Court Battle to Secure £3 Billion Loan

Thames Water has long been weighed down by its debt burden.

Photographer: Chris Ratcliffe/Bloomberg
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Appeal judges have approved emergency funding allowing Thames Water to access as much as £3 billion ($3.9 billion) and stave off temporary nationalization.

The UK’s Court of Appeal dismissed a challenge to the proposed loan after a three-day hearing last week. The decision should give the beleaguered utility access to much needed funds and prevent a messy insolvency while it seeks a long term fix for its financial woes. The debt will be provided by a group of senior creditors — including Elliott Management, Silver Point and Pimco.