By Bloomberg
Eskom Holding’s creditors started working with financial advisory firm Rothschild & Co. as South Africa’s struggling power utility prepares a long-awaited reorganization aimed at returning it to profit and lightening its debt load.
Bondholders are forming a common front to protect their interests as the state-owned company takes steps to split into three entities, according to people familiar with the matter who asked not to be identified because the information is private.
While Eskom’s R392 billion ($25.4 billion) of debt will remain under the holding company for now, some bondholders fear it may be distributed across financially weaker units, they said.
