Brookland Partners and Structured Real Estate Solutions have been appointed as financial advisers in relation to the heavily indebted Four Seasons Healthcare business.
Hatfield Philips appointed the two firms, along with legal adviser Allen & Overy, as it continues to service the £725m securitised loan while refinancing options are explored by the care homes owner and operator. It has appointed Brookland and SRES to help it assess the group’s progress and decide on strategy.
The appointments came as Royal Bank of Scotland, Four Seasons’ largest lender and shareholder, updated the market on its proposals to refinance the £725m of debt that is due to mature in September.
The bank is working with Four Seasons’ management on options to refinance part of the debt, including carrying out a whole business securitisation, with advice from Rothschild.
It is also looking at raising equity – either from existing shareholders, new investors or a combination of the two – to reduce the debt secured against 306 UK care homes.
Hatfield Philips said it “continues to closely monitor the group’s activities but has not yet formed an opinion as to the potential outcome of the group’s efforts, given the uncertainty in the broader debt and equity capital markets”.
Private equity firms, including KKR, Bain Capital and Patron Capital, have all been linked to a purchase of Four Seasons or part of its debt.
bridget.o’connell@estatesgazette.com
