The investment giant aligned itself to save that Thames’ water abandoned its offer a few days after the discussions involving one of its co-founders and Downing Street officials.
Sky News learned that Henry Kravis, one of KKR’s ascent architects to become one of the most powerful investors in the world, discussed his plan to bail out the largest British water company with Varun Chandra, the best sales advisor to Sir Keir Keir Starmer.
Sources close to Now offer abundant said that the appeal between the pair had been organized following a request for Thames water and his advisers in Rothschild.
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An initiate said that the discussion had been “constructive”, Mr. Chandra would have sought to reassure Mr. Kravis that the government supported the agreement.
A source close to KKR, however, said that its senior executives based in New York were unable to make themselves comfortable with the level of operational and financial risk attached to investment up to 4 billion sterling of equity in the water of the Thames.
They were also concerned about negative rhetoric intended for Thames Water and the rest of the industry in recent weeks by Steve Reed, the environment secretary and other ministers, added the source.
KKR’s decision to withdraw from discussions leaves the company of the waters, which serves more than 15 million customers across London and the Thames Valley, based on another agreement concluded by its biggest bond holders.
This proposal is progressing, said Thames Water on Tuesday, although the specter of temporary nationalization continues to loom.
The company was sentenced to a fine of 123 million pounds sterling by OFWAT, the industry regulator last week, and faces new substantial penalties in the coming months.
KKR was contacted for comments.