Telewest to go ahead with debt restructuring

10 Oct 2003

UK-based cableco Telewest has received approval from its lead bankers – including the Royal Bank of Scotland, Bank of New York, Deutsche Bank and Bank of America – to go ahead with a GBP3.5 billion (USD5.8 billion) debt restructuring, putting an end to fears that the top lenders would be against the deal. Telewest was concerned that its bankers would try to stop the proposals from going ahead as it will involve the company’s primary listing being moved from London to the US. Although this brings the cable operator closer to completing its restructuring process, it is still awaiting approval from its other banks. Observers have suggested that a US listing could help Telewest to reach a merger with US-based NTL, although on the other hand it could have negative effects on the company as the US offers less bankruptcy protection than the UK.

United Kingdom