Covalis Capital Leads £5 Billion Bid to Restructure Thames Water

The proposal includes asset sales, government oversight, and operational support from French utility Suez.

Thames Water, the UK’s largest water supplier, faces a financial crisis with £19 billion in debt and insufficient cash to operate beyond early 2025.
Infrastructure investor Covalis Capital has submitted a £5 billion bid, offering £1 billion upfront and raising the rest through asset sales and refinancing.
The plan involves selling and leasing back infrastructure, potentially breaking up parts of the company, and listing the restructured entity on the stock market.
French utility Suez would act as an operational advisor to improve Thames Water’s systems, though it would not hold any ownership stake.
The UK government would retain a 'golden share' in the company, providing board representation and additional oversight to protect public interests.