Last-minute reprieve for care home operator

Britain’s second-biggest care homes operator, Four Seasons, has struck a lastditch deal with its major creditor that staves off the immediate threat of administration.

The group, owned by Guy Hands’ private equity vehicle Terra Firma, is struggling under £525 million of debt and faced a critical interest payment today.

It has now reached a “standstill” agreement with American hedge fund H/2 Capital Partners.

This “ensures continuity of care for Four Seasons’ residents and enhances operational stability for employees and all stakeholders,” the companies said in a statement.

However, details of a long-term restructure are still to be agreed.