Elior UK client Four Seasons Health Care, one of the largest care groups in the UK, has gone into administration.
The French foodservice firm won the contract for 96 Four Seasons sites in 2016 - reportedly the largest contract award in the sector covering 48 locations in the North West and 48 in the East of England.
The deal saw more than 500 care home team members taken on as Elior staff. However it is unclear how many Elior staff are currently employed at Four Seasons, as well as how many sites the foodservice operator currently serves. A spokesperson for Elior said the company did not comment on its clients or their business.
In a statement outlining the administration process of two of its holding companies, a Four Seasons spokesperson said the "operating companies under which the care home and hospital operations sit are not in administration and continue to be run as normal by the existing leadership teams." The spokesperson added the group has retained sufficient operational funding to continue care services throughout the sale process.
Dr Claire Royston, group medical director of Four Seasons Health Care, commented: "Today's news does not change the way we operate or how our homes are run or prompt any change for residents, families, employees and indeed suppliers. Our priority remains to deliver consistently good care. It marks the latest stage in the Group's restructuring process and allows us to move ahead with an orderly, independent sales process.