Prime Minister David Cameron gave a guarantee that elderly people in residences run by Southern Cross Healthcare Plc won’t lose their care as Britain’s biggest operator of such homes struggles to reverse losses.
Southern Cross Healthcare Plc’s 80 landlords have agreed to “significant” rent cuts, the Financial Times reported, citing Daniel Smith, chairman of a committee composed of eight of the company’s biggest landlords.
Southern Cross Media Group Ltd., Australia’s largest listed rural broadcaster, rose to a 22-month high in Sydney trading after The Australian reported its board met about a potential merger with Nine Entertainment Co.
Southern Cross Healthcare Plc’s plans to relinquish control of 132 of its 752 care homes, the Financial Times reported, citing documents distributed to its landlords. The documents said there were 47 care homes that Southern Cross “does not wish to retain due to demographic and/or financial reasons,” and will return to landlords by Sept. 30, the FT said. Southern Cross intends to withdraw from 85 more care homes by 2016, the FT said.
Southern Cross Healthcare Plc plans to raise 100 million pounds ($164 million) of new equity, close 200 care homes and change its name, the Sunday Times reported, without saying where it got the information.
Southern Cross Healthcare Group Plc, which runs care homes for the elderly in the U.K., asked the British government for financial assistance to avoid breaking the terms of its bank loans, the Mail on Sunday reported , without saying where it got the information.