Lenders to British care home operator Four Seasons Health Care have reached agreement on a debt resuctructuring deal, delaying plans to put the company up for sale.
The deferral is expected to be for a short period only, during which the group's board will keep the situation under constant review, Four Seasons said in a statement on Monday.
Last week, the restructuring deal looked to be off the table after failing to receive unanimous support from senior lenders by a July 6 deadline. This triggered a process to put the heavily indebted firm up for sale.
However, the lender that objected to the deal -- named as Credit Suisse by two sources with knowledge of the deal -- last week changed its position and now backs the restructuring deal.
Credit Suisse was not available for comment.
With all the senior lenders ready to sign up to the company's deal, this leaves only a minority of the junior lenders who have not agreed to the restructuring terms, Four Seasons said.
The proposals, which would see big cuts to the company's 1.4 billion pound ($2.25 billion) debt, require the support of 75 percent of junior lenders and 100 percent of senior lenders.
(Reporting by Tom Freke; Editing by Dan Lalor)
($1 = 0.6211 pound)