The U.K. private finance initiative (PFI) has stimulated a number of innovative securitizations from the U.K. utility sector. Now that shareholders have tasted the profitable returns on investments that restructuring in this market can bring, new originators, perhaps even from outside the U.K., are likely to join the party.

"The allure here has had to do more with shareholders gaining a return on investments by using utilities to gain on holdings," said Daniela Katsiamakis at Standard & Poor's. In a report published last week, Katsiamakis explained that the restructuring undergone by U.K. water and wastewater companies in particular has seen shareholder demands augment over the past two years as a result of the relatively low rate of return offered by regulated water businesses.

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