BNN Bloomberg: Thames Water Returns Set Below Level Needed to Finance Plan

BNN Bloomberg

BNN Bloomberg: Thames Water Returns Set Below Level Needed to Finance Plan

< 1 minute
December 19, 2024 3:24 pm
 |
 |Carolyn Essid

This article discusses the UK water regulator Ofwat’s decision to approve a plan that will give Thames Water equity investors a 5.1% return on their investment over the next 5 years. Investors must now determine whether the return rate is sufficient to ensure the company can attract the investment required to improve its infrastructure.

Tim Whittaker, Research Director at EDHEC Infrastructure & Private Assets Research Institute, commented:

I don’t see how any equity investor will tip money in for that return – they would demand roughly 11%”.

🔗 Read the full article.

🔗 Access our research paper, “Low Tide: What the Data Showed About Thames Water”.