Government bailout ruled out as private hospital giant enters receivership
Healthcare giant Healthscope will not get a government bailout after Australia's second-largest private hospital operator collapsed into receivership, the health minister has confirmed.
Receivers from McGrathNicol Restructuring have been appointed after lenders voted to end their support of Healthscope's owner, Brookfield, on May 26.
Federal health minister Mark Butler has called on Healthscope CEO Tino La Spina to ensure no disruptions for staff and patients as the healthcare group finds a buyer.
"I sought an assurance from him that the thousands of Australians who, right now, have a birth plan or a knee reconstruction booked at a Healthscope hospital can be confident that that procedure will go ahead as planned and as booked," he said.
Healthscope, which operates 37 private hospitals, has reportedly been unable to keep up with payments on its facilities.
More than 19,000 people are employed by the healthcare provider, Mr Butler said.
READ MORE: baby dies in childbirth at hospital as chief obstetrician investigates
The group's hospitals were expected to remain open and operating on a "business-as-usual basis", Healthscope said.
"There is no interruption to the outstanding care we provide. Our incredible teams are all working as normal, providing the high standard of care they always have," Mr La Spina said.
Around 650,000 Australians received surgery and care through a Healthscope hospital each year, the health minister said.
The embattled healthcare company has asked lenders to take control of the board and the search for a new owner as it faces $1.6 billion in debt.
The Commonwealth Bank has provided a $100 million funding package to McGrathNicol, in addition to Healthscope's current cash balance of $110 million, to support operations while it searches for a buyer.
"The additional funding, while we do not anticipate it being required, provides additional support," Mr La Spina said.
Healthcare giant Healthscope will not get a government bailout after Australia's second-largest private hospital operator collapsed into receivership, the health minister has confirmed.
Receivers from McGrathNicol Restructuring have been appointed after lenders voted to end their support of Healthscope's owner, Brookfield, on May 26.
Federal health minister Mark Butler has called on Healthscope CEO Tino La Spina to ensure no disruptions for staff and patients as the healthcare group finds a buyer.
"I sought an assurance from him that the thousands of Australians who, right now, have a birth plan or a knee reconstruction booked at a Healthscope hospital can be confident that that procedure will go ahead as planned and as booked," he said.
Healthscope, which operates 37 private hospitals, has reportedly been unable to keep up with payments on its facilities.
More than 19,000 people are employed by the healthcare provider, Mr Butler said.
READ MORE: baby dies in childbirth at hospital as chief obstetrician investigates
The group's hospitals were expected to remain open and operating on a "business-as-usual basis", Healthscope said.
"There is no interruption to the outstanding care we provide. Our incredible teams are all working as normal, providing the high standard of care they always have," Mr La Spina said.
Around 650,000 Australians received surgery and care through a Healthscope hospital each year, the health minister said.
The embattled healthcare company has asked lenders to take control of the board and the search for a new owner as it faces $1.6 billion in debt.
The Commonwealth Bank has provided a $100 million funding package to McGrathNicol, in addition to Healthscope's current cash balance of $110 million, to support operations while it searches for a buyer.
"The additional funding, while we do not anticipate it being required, provides additional support," Mr La Spina said.
Healthcare giant Healthscope will not get a government bailout after Australia's second-largest private hospital operator collapsed into receivership, the health minister has confirmed.
Receivers from McGrathNicol Restructuring have been appointed after lenders voted to end their support of Healthscope's owner, Brookfield, on May 26.
Federal health minister Mark Butler has called on Healthscope CEO Tino La Spina to ensure no disruptions for staff and patients as the healthcare group finds a buyer.
"I sought an assurance from him that the thousands of Australians who, right now, have a birth plan or a knee reconstruction booked at a Healthscope hospital can be confident that that procedure will go ahead as planned and as booked," he said.
Healthscope, which operates 37 private hospitals, has reportedly been unable to keep up with payments on its facilities.
More than 19,000 people are employed by the healthcare provider, Mr Butler said.
READ MORE: baby dies in childbirth at hospital as chief obstetrician investigates
The group's hospitals were expected to remain open and operating on a "business-as-usual basis", Healthscope said.
"There is no interruption to the outstanding care we provide. Our incredible teams are all working as normal, providing the high standard of care they always have," Mr La Spina said.
Around 650,000 Australians received surgery and care through a Healthscope hospital each year, the health minister said.
The embattled healthcare company has asked lenders to take control of the board and the search for a new owner as it faces $1.6 billion in debt.
The Commonwealth Bank has provided a $100 million funding package to McGrathNicol, in addition to Healthscope's current cash balance of $110 million, to support operations while it searches for a buyer.
"The additional funding, while we do not anticipate it being required, provides additional support," Mr La Spina said.
Healthcare giant Healthscope will not get a government bailout after Australia's second-largest private hospital operator collapsed into receivership, the health minister has confirmed.
Receivers from McGrathNicol Restructuring have been appointed after lenders voted to end their support of Healthscope's owner, Brookfield, on May 26.
Federal health minister Mark Butler has called on Healthscope CEO Tino La Spina to ensure no disruptions for staff and patients as the healthcare group finds a buyer.
"I sought an assurance from him that the thousands of Australians who, right now, have a birth plan or a knee reconstruction booked at a Healthscope hospital can be confident that that procedure will go ahead as planned and as booked," he said.
Healthscope, which operates 37 private hospitals, has reportedly been unable to keep up with payments on its facilities.
More than 19,000 people are employed by the healthcare provider, Mr Butler said.
READ MORE: baby dies in childbirth at hospital as chief obstetrician investigates
The group's hospitals were expected to remain open and operating on a "business-as-usual basis", Healthscope said.
"There is no interruption to the outstanding care we provide. Our incredible teams are all working as normal, providing the high standard of care they always have," Mr La Spina said.
Around 650,000 Australians received surgery and care through a Healthscope hospital each year, the health minister said.
The embattled healthcare company has asked lenders to take control of the board and the search for a new owner as it faces $1.6 billion in debt.
The Commonwealth Bank has provided a $100 million funding package to McGrathNicol, in addition to Healthscope's current cash balance of $110 million, to support operations while it searches for a buyer.
"The additional funding, while we do not anticipate it being required, provides additional support," Mr La Spina said.
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