Thames Water has received a buyout offer from Covalis Capital the plans it would see the company break up the business into smaller chunks.
Covalis would bring in French company Suez to help run Thames Water which would see large pieces of the suppliers’ assets sold off.
Thames Water would receive £1 billion immediately and a further £4 billion would be invested from assets sold off and refinancing, which would then see the water company listed on the stock market.
A spokesperson for Suez said they have entered into an “exclusive partnership” with Covalis Capital and their role would purely to “advise and assist Thames Water by leveraging Suez’s expertise in technical advisory and organisational optimisation”.
They added, “At this stage, Suez’s scope of work is limited to advisory mission to ensure the project’s success and address the specific challenges faced by Thames Water.”
Gary Carter, GMB National Officer, said, “Any plan to takeover Thames and break it up would be a disaster for consumers and workers.
“These bids won’t stop the leaks nor pollution – they will only line the pockets of those who want to break it up.
“Thames Water needs considered, long term investment to repair its infrastructure, stop the leaks and provide stability; not the plundering of its assets to make a quick buck.
“The Government has to stop this vulture auction and take control of Thames in the interest of the public.”
