Britain’s largest Care provider Four Seasons makes survival appeal as interest deadline looms

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elderly senior being brought meal by carer or nurseFour Seasons Health Care, the largest care service provider in Britain which is owned by Terra Firma, the private equity firm controlled by the controversial financier Guy Hands has made a desparate appeal to its lenders to agree to radical restructuring of its heavy debts to avert a cash crisis that would cast uncertainty over the future of hundreds of nursing homes nationwide.

The company which is scheduled to make a £26m interest payment in December, warned that it will not be able to make the payment, threatening to breach obligations to bondholders who could then seize control of its estate of 360 nursing homes as they seek to recover £525m loaned to Four Seasons. Such a move would raise questions for Four Seasons’ 17,000 residents and would be likely to trigger intervention by the Care Quality Commission (CQC)

The regulator said on Tuesday it did not believe services were likely to be disrupted “at this time” and that the restructuring proposal was “an important step in securing the long-term financial future of this company”.

Guy Hands’s Terra Firma bought Four Seasons for £825m in 2012, including £525m of debt.

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