(Bloomberg) -- Natwest Group Plc is the agent on a £190 million ($239 million) loan taken by Thames Water’s parent that’s due for repayment later this month, according to two people familiar with the matter, who asked not to be named because details are private.

Kemble Water Holdings Ltd confirmed last week that it’s unable to repay the debt due April 30 and has appointed advisers to help win an extension.

Natwest’s role sheds some light on the financial obligations linked to a utility giant that services the water needs of 16 million people and lists Canadian and UK pension funds among its shareholders. The lenders to Kemble haven’t been identified and there’s no duty to make details of a private loan public. 

Agents in syndicated loans typically ensure the borrower complies with financial covenants and that payments are being made. Although they usually only act in accordance with the instructions of lenders, they can still have ringside seats to any discussions in the event of a restructuring.

Natwest and Kemble declined to comment. 

How Debt and Sewage Pushed Thames Water to the Brink: QuickTake

Dividends are Kemble’s main source of cash, but industry regulator Ofwat bars water utilities with a poor financial and environmental record from making payouts to investors. 

Ofwat is already probing whether Thames broke the rules last year when it paid £37.5 million to Kemble, and from next year dividend restrictions will tighten further. Following months of talks with Ofwat, shareholders on Thursday refused to inject £500 million of cash into Thames Water, saying conditions required by Ofwat make a proposed investment plan “uninvestible.”

Around £1.7 billion of Thames Water’s £18.2 billion outstanding debt was issued by Kemble and its bonds are now trading at a huge discount to debt sold by Thames Water Utility Finance, which can be repaid directly from the company’s cashflow. 

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