Healthscope management is preparing to put a proposal to lenders that will see the country’s second-largest hospital operator restructured into a not-for-profit company to reduce payroll tax payments and retain its network of 37 hospitals.

Chief executive Tino La Spina is spearheading a plan that will effectively see Healthscope bidding for itself when indicative proposals for the company are lodged with receivers McGrathNicol at the end of this month.