Foothill Group Raises Stake in Care Enterprises

The Foothill Group Inc., a financial services holding company with headquarters in Agoura Hills and West Los Angeles, has raised its interest in Tustin-based Care Enterprises Inc. to 25.7%, or the equivalent of 2.59 million shares.

Foothill acquired the interest under a plan of reorganization after Care Enterprises filed for Chapter 11 bankruptcy protection in 1988, according to a Securities and Exchange Commission filing. Care Enterprises is a provider of inpatient nursing services.

Under the reorganization plan, Foothill and a subsidiary, Foothill Capital Corp., converted their holdings in Care Enterprises stock, debentures and notes into newly issued Care Enterprises common stock, according to the filing.

In a related transaction, Foothill Group purchased $1.2 million in Care Enterprises notes Jan. 18 from Smith Management Co.