Southern Cross has been given four months to find a solution to its financial problems.
The country's largest care home operator is working with its landlords and lenders to restructure it finances and secure its future.
Southern Cross has 31,000 residents in its network of more than 750 care homes and the company's recent funding crisis has prompted fears that many would be evicted or left without suitable care.
However, in a statement released today, Southern Cross said it work with its landlords towards a consensual solution to the company's current financial problems which will be delivered over the next four months.
"This process will be overseen by a Restructuring Committee made up of representatives of the Landlords' Committee and the Company," it continued.
"The business, including the delivery of care, will continue to be the responsibility of the Southern Cross Board, management team and staff who have the full support of both the landlords and lenders in the delivery of this important task."
Christopher Fisher, chairman of Southern Cross, added: "This is a most welcome development which puts an end to the recent unsettling period of uncertainty for our residents and their relatives.
"We are now focused on working towards a consensual solvent restructuring. We thank our landlords and lenders for their support and look forward to working with them over the next four months to finalise the future arrangements for our homes."
