Fortress Seeks Early Repayment of Orpea Debt in Germany

A fund linked to Fortress Investment Group asked a German tribunal to order beleaguered French care-home operator Orpea SA to make an early repayment of a hybrid debt issue, according to a court filing seen by Bloomberg.

The company didn’t disclose details of a lingering scandal over patient care and its finances, according to the motion filed Friday in Frankfurt Regional Court. After the problems emerged and Orpea needed to restructure its balance sheet, it favored French financial institutions, violating the equal footing principle agreed within the debt terms, Fortress alleged.

The case is part of the continuing fallout ...