Care home operator has “reasonable” chance of securing its future
Troubled care home operator Southern Cross has reportedly said it has a “reasonable” chance of securing its future, despite announcing a £311m half-year loss.
Southern Cross, which says it can no longer afford to pay full rent at its 750 homes, is continuing talks with its landlords over a rent reduction.
The Darlington-based firm said that if a deal was agreed, it would open the way for it to seek £100m of new funds.
Its loss comes after it had to write-down the value of its investments.
The care homes run by Southern Cross have a total of 31,000 residents.
The firm runs homes across England, Wales and Northern Ireland.
In Scotland, it has sites in Aberdeenshire, Angus, Argyll and Bute, the Highlands and Islands and Lothian.