UK cable company, Telewest Communications, today said that it is making progress in its plans for the full financial restructure that will rid the group of £3.5 billion of its £5.3 billion debt.
However, the company has run into a glitch with one of its creditors, French banking institution Credit Agricole, which is attempting to have the business wound up over an outstanding payment of £10.5 million.
Telewest had decided to defer this payment and other similar financial arrangements and intends to deal with them as part of the broader financial restructure. This indicates that the company is confident that the restructure will get the backing of its creditors and will go ahead. A further announcement is anticipated later this month.
Once the restructure is complete, Telewest is expected to ultimately merge with rival cable operator NTL, creating a single player in the UK’s cable market.
