Orpea, France Retirement Home Operator, Gets $1.8 Billion Bank Financing

Orpea SA, the embattled retirement-home operator at the heart of a scandal in France, secured 1.73 billion euros ($1.8 billion) of financing from banks as the company faces increasing costs and debt maturities.

The company aims to sell 3 billion euros of assets by end of 2025 to reduce debt, Orpea said in a statement Friday. It won’t pay a dividend this year because of the expenses it faces to overhaul its operations in the wake of the scandal, in which it was accused of stinting on care for the elderly to boost profits. The stock slumped as much as 7.9%, only to reverse losses and gain 3.9%.

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