Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

France's investment arm CDC says offer to restructure Orpea 'still on table'

Published 20/01/2023, 11:19
Updated 20/01/2023, 11:20
© Reuters. FILE PHOTO-A view shows the logo of French care homes company Orpea at the entrance of a retirement home (EHPAD - Housing Establishment for Dependant Elderly People) in Reze near Nantes, France, February 2, 2022. REUTERS/Stephane Mahe

© Reuters. FILE PHOTO-A view shows the logo of French care homes company Orpea at the entrance of a retirement home (EHPAD - Housing Establishment for Dependant Elderly People) in Reze near Nantes, France, February 2, 2022. REUTERS/Stephane Mahe

(Reuters) - Caisse des Depots's (CDC) offer to restructure Orpea's debt is still on the table, the French public financial institution said on Friday, a day after the care homes group said it had failed to reach agreement with investors and creditors. "We want to have control of the governance so that our publicly stated conditions (complete change of practices and clean up of the balance sheet) in mid-November are implemented", CDC said in an e-mailed statement to Reuters.

Orpea, plagued by allegations of malpractice at its care homes, has held discussions with French investors, led by CDC and a group of creditors holding about 50% of its 3.8-billion-euro ($4.1 billion) unsecured debt. The company also said it would continue discussions with the group of unsecured creditors to reach an agreement on the restructuring plan, which includes a share capital increase for an amount between 1.3 billion and 1.5 billion euros.

Separately, French business daily Les Echos reported on Thursday that private equity giant KKR & Co might be interested in buying the care home operator's home services business Domidom and has mandated Centerview bank for this purpose.

© Reuters. FILE PHOTO-A view shows the logo of French care homes company Orpea at the entrance of a retirement home (EHPAD - Housing Establishment for Dependant Elderly People) in Reze near Nantes, France, February 2, 2022. REUTERS/Stephane Mahe

Neither Orpea nor KKR immediately responded to a request for comment on the report.

($1 = 0.9222 euros)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.