Investment bank Schroder Salomon Smith Barney slashed its price target to 10p from 75p and cut its Telewest rating to 'underperform' following concerns that a refinancing would devalue its equity.
Moody's Investment Services followed this by placing Telewest debt ratings on review for a possible downgrade, reflecting concerns about the group's ability to cover interest payments on its £5bn debt.
The fears follow Telewest's full-year results on Friday, which revealed losses of £1.1bn following a £1bn write-off on its content division Flextech.
News that broadband subscription numbers had passed the 100,000 mark were initially met with support. But sentiment turned when finance director Charles Burdick revealed to analysts on Friday afternoon that he had discussed restructuring options with leading shareholders Liberty Media and Microsoft.
Analysts took this comment as a sign that Telewest may be forced into a restructuring in the same manner as rival NTL - which would allow Libery to buy NTL, combine it with Telewest and create a single UK cable giant.
Shares in Telewest fell to a new low of 13p but recovered slightly by 16.00 when they recovered to 13.5p.
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