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Place sugar and water in 9x2-inch round heavy duty cake pan. Stir until sugar is slightly dissolved. Place pan on stove on medium heat. Cook sugar about 10 minutes, without stirring, until sugar turns golden brown. Using oven mitts, tilt pan to coat bottom and sides with caramel. Place pan on wire rack to cool and harden caramel slightly.
Preheat oven to 350°F. Place remaining ingredients, in blender container; cover. Blend until smooth. Pour mixture over cooled caramel in pan. Cover with foil. Place cake pan in large baking pan or roasting pan. Pour hot water into baking pan to come halfway up side of cake pan.
Bake 1 hour or until knife inserted in center comes out clean. Remove cake pan from water bath. Cool on wire rack. Carefully loosen sides of custard from pan with a knife. Cover.
Refrigerate at least 3 hours or overnight. To unmold, invert pan onto a large shallow plate or 10-inch pie dish.