Thames Wat.u 35 Regulatory News (AW14)

Thames Water Utilities Limited

17 March 2025

Liquidity Extension Update - Restructuring Plan Upheld 

Thames Water Utilities Limited announces that today the Court of Appeal upheld the restructuring plan to extend the liquidity runway of the Thames Water Group.

Following a decision of the Court of Appeal, the restructuring plan proposed by Thames Water Utilities Holdings Limited pursuant to Part 26A of the Companies Act 2006 (the "Company Plan") in connection with implementing the liquidity extension transaction (the "Liquidity Extension Transaction") and which had been sanctioned by High Court of Justice of England and Wales has been upheld, subject to a limited modification relating to releases by Thames Water Utilities Holdings Limited and TWUL.

Chris Weston, CEO, Thames Water commented: "We are pleased that the Court of Appeal has today decisively refused the appeals and upheld the strong High Court decision to sanction the Company Plan. We remain focused on putting Thames Water onto a more stable financial foundation as we seek a long-term solution to our financial resilience. Today's news demonstrates further progress. We continue to work closely with our creditors, enabling us to access liquidity to continue to implement our turnaround plan so we can deliver better results for our customers and the environment while seeking to attract new capital into the business. As we have previously stated, the Company Plan will not affect customer bills but will provide continued investment in our network to fix pipes, upgrade our sewage treatment works, and maintain high-quality drinking water. We remain of the view that a market led solution is in the best interest of customers, UK taxpayers and the wider economy."

The Company will now work with its creditors to seek to satisfy final conditions precedent to the super senior funding and obtain waivers where applicable - to achieve this the Company expects to launch a STID Proposal and consent requests under the super senior funding shortly, together with certain turnover arrangements. Following the outcome of those consent processes, it is expected that the initial tranche of £1.5 billion would be provided in instalments over the coming months.

TWUL's equity raise process continues to progress in parallel. On 11 February 2025, TWUL announced that it had received proposals from a number of parties and it is now conducting a detailed assessment of each bid. TWUL will provide further updates in relation to the equity raise in due course.

-Ends-

For further information

Investor enquiries

Edwin Lloyd - Head of Investor Relations debt.investorrelations@thameswater.co.uk

Media enquiries

Alex SimmonsEdelman SmithfieldThameswater@edelmansmithfield.com

Suvra Jans - Head of Media Relations Suvra.jans@thameswater.co.uk 07747 640810

Simon Haynes

simon.haynes@thameswater.co.uk

07747 644 910

Information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 as amended and as it forms part of United Kingdom domestic law ("UK MAR") until the release of this announcement. For the purpose of UK MAR and Article 2 of Commission Implementing Regulating (EU) 2016/1055 as it forms part of United Kingdom domestic law, this announcement is made by Chris Weston (Director) at Thames Water Utilities Limited.

LEI: 213800JKM5UQHFJOTZ25