Pimco sells Thames debt

(by Verity Mitchell)

Pimco has sold the majority of its Thames Water bonds to the hedge funds already involved in the restructuring: Apollo, Elliot and Silverpoint. This appears to be profit-taking after the recent price rise of the traded debt.

This in itself indicates optimism from the market that the most recent proposals for the financial restructuring of Thames may be viable. The sale may also indicate that Pimco has no interest in the debt to equity swap envisaged in the restructuring plans.