Cerba Healthcare, a French clinical laboratory company backed by EQT AB, is pursuing a court-supervised restructuring for its roughly $5 billion debt. This move comes as the company anticipates an update from the French government, expected in late May or June, regarding subsidies for private laboratory companies. Cerba had previously communicated to its lenders in April 2026 that it would provide a comprehensive debt plan after this government update.
The company has faced financial strain due to reduced reimbursements and subsidy cuts across France, Italy, Belgium, and Luxembourg. S&P Global Ratings downgraded Cerba to CCC- in April 2026, reflecting these challenges. Cerba had indicated it did not expect further tariff reductions this year and planned to focus on cost-cutting and selling non-core assets to stabilize its cash flow. In 2025, Cerba's adjusted debt-to-asset ratio was projected to be around 14x, up from 13x in 2024.
Discussions around the debt restructuring have been ongoing, with a steering committee of creditors, including Sona, PGIM, Invesco, Anchorage, and Arini, being formed. EQT has been in preliminary talks with creditors, proposing a roughly $300 million equity injection in exchange for a 25% haircut on the senior secured debt. However, initial feedback from lenders suggested they expected a larger new-money contribution. An independent business review by Eight Advisory was also underway, with the first part showing a single-digit downward revision of 2023 and 2024 earnings.
Cerba’s total debt includes $4.183 billion in senior secured debt and $525 million in senior unsecured debt, in addition to $297 million in lease liabilities. As of September 30, 2025, its net leverage was 9.3x based on a trailing twelve months (LTM) pro forma adjusted EBITDA of $522 million. The company's $720 million senior secured notes due 2028 were quoted at 72.64, yielding 18.75%, while its $525 million senior unsecured notes due 2029 were indicated at 15.71, yielding 84.775%.
In November 2025, EQT provided $100 million in new financing pari passu to the senior secured debt to extend liquidity. Cerba also announced it was preparing for the sale of its Testing, Inspection and Certification (TIC) business in Italy, an asset with an estimated value of $50 million and a turnover of $80 million, to help raise capital.
