Thames Water Selects KKR for £4 Billion Equity Investment

The UK’s largest water supplier advances talks with the US private equity firm to stabilize its finances and address its £20 billion debt crisis.

KKR has been chosen as the preferred bidder for a £4 billion equity investment to help Thames Water avoid insolvency or nationalisation.
Thames Water recently secured a £3 billion emergency loan to maintain operations through 2026 while negotiating long-term financial solutions.
The proposed deal with KKR includes a significant write-down of senior Class A debt, with further discussions ongoing.
The company plans to finalise terms with KKR by mid-2025 and complete its financial restructuring in the second half of the year.
Public dissatisfaction remains high due to rising water bills, sewage leaks, and underinvestment in infrastructure, with bills set to increase by 35% over the next five years.