Hospitals Creditor group wants to give Spital Wetzikon more time
A group of creditors of Wetzikon Hospital wants to save the hospital from imminent bankruptcy. The GZO Creditor Group announced on Thursday that it intends to convene a creditors' meeting for this purpose.
18.07.2024, 08:41
18.07.2024, 12:21
SDA
According to the announcement, the creditors' meeting will propose that the bond of 170 million Swiss francs owed by Wetzikon Hospital can be repaid later than agreed. This would have been due in June. The new repayment period is now not due to expire until June 14, 2027.
The interest rate is to be increased every six months, from the current 1.87% to 4.87% in 2027. This should be an incentive for the hospital to quickly draw up and implement a restructuring program - without having to worry about debt-restructuring moratoriums, liquidation or bankruptcy.
The GZO Creditor Group, as the creditor group is called, continues to believe in Wetzikon Hospital: the hospital operations are fortunately still generating positive operating results. So far, it has lacked the necessary time to put the hospital on a sustainable financial footing. Averting bankruptcy is in the interests of all parties concerned.
New building project to be scaled down
However, the creditors expect a long-term financing strategy from the hospital and a downsizing of the new building project. The hospital originally took out the 170 million bond for this new building. The construction site has now been at a standstill for months. The building is only 70 percent complete.
If the other creditors accept the GZO Creditor Group's proposals, the hospital could be released from the provisional debt restructuring moratorium. When exactly the meeting will take place is still open, as the GZO Creditor Group was told on request.
However, the date should be before the end of August, as Gesundheitsversorgung Zürcher Oberland (GZO) has been in provisional debt-restructuring moratorium since April 30. This four-month "grace period" for debt collection expires at the end of August.
"Creditors' meeting not necessary"
The hospital itself apparently sees the situation less dramatically. The creditors' meeting is not necessary, said Chairman of the Board of Directors Jörg Kündig (FDP) to Radio SRF1's "Regionaljournal Zürich-Schaffhausen".
They are currently working on an overall concept. "We therefore believe that we still have enough time." There is no need to delay, Kündig continued.
Hospital is not "indispensable"
Last week, the shareholder communities announced that they wanted to help the hospital, which had got into difficulties. They would be prepared to inject further money - but only if the hospital develops an economically viable concept.
At the beginning of April, it became known that the hospital had asked the health department for a loan of 180 million francs. However, the canton rejected the request. The hospital was not considered "essential" and was not absolutely necessary for the hospital care of the Zurich population.
Wetzikon Hospital has 150 beds and employs around 900 staff. Operations are continuing as normal despite the debt restructuring moratorium.
