French healthcare group Santé Cie, majority-owned by private equity firm Ardian, has had its bank accounts seized by authorities as part of a two-year investigation. The probe concerns the company's dealings with healthcare professionals, leading to a dramatic fall in the value of its debt. The current accounts of Santé Cie and its subsidiaries Elivie and Asdia were frozen last month.

Santé Cie's €820 million term loan plunged to 52 cents on the euro following the disclosure of the investigation to lenders. The loan had traded at 101 cents just days prior. The investigation, initiated in June 2024, involves the seizure of funds exceeding €45 million. Santé Cie is contesting the asset freeze, asserting its practices comply with regulations.

The National Financial Prosecutor's Office is leading the investigation. Santé Cie informed creditors that the seizure aims to guarantee potential penalties, including confiscation, should the company be convicted of an offense involving confiscation. The company, which has 3,000 employees and serves 500,000 patients across France, Germany, and the Netherlands, is seeking legal counsel and will update lenders on potential debt waivers.