The private group of retirement and healthcare homes Orpea announced on Wednesday that it had obtained 600 million euros in additional credit to “cover its liquidity needs” until the completion of a capital increase provided for by an agreement signed in mid-February. .
This sum will be provided by lenders including the main banking partners to whom the company had already had recourse last June within the framework of a conciliation protocol, Orpea said in a press release.
The additional credits will be made available to the companies Niort 94 and Niort 95, which will hold part of the group’s real estate assets, explained Orpea, which is awaiting the opening of an accelerated safeguard procedure in March.
Of these 600 million, a first tranche of 200 million will arrive on December 31, 2023, or five working days following the completion of all the capital increases. The remainder, i.e. 400 million, is a revolving credit facility reaching maturity on June 30, 2026.
Regarding its existing financing plan, Orpea has also undertaken to sell 1.25 billion euros of real estate assets (in gross value excluding duties) by December 31, 2025.
In turmoil for a year, following a financial restructuring, Orpea signed an agreement in February to allow it to come under the control of a consortium led by the Caisse des Dépts (CDC), accompanied by insurers, including CNP Assurances, Maif and MASCF, as well as a group of creditors.
This agreement plans to write off 3.8 billion euros of the group’s debt out of a total of 9.7 billion, by converting them into capital. It also provides that investors bring 1.55 billion euros in new money to the group, present in 22 countries and which manages some 350 establishments in France (Ehpad, clinics, etc.).
We are determined to implement the plan announced in February, a CDC spokeswoman reacted to AFP. plan.
Opened in October, the amicable conciliation procedure aimed at convincing certain creditors to join this debt restructuring agreement has recently been extended until March 25th. The deadline for joining the lock-up agreement is Friday, March 10.
The CDC has also been sued by the funds Whitebox, Kyma Capital, LMR Partners and Fortress Investment Group, as Letter A stated on Tuesday, on this lock-up agreement.