The country’s second-largest private hospital operator, Brookfield-owned Healthscope, has replaced its chief executive and chairman amid negotiations to refinance a debt pile that stretches to $1.6 billion.

Healthscope told staff on Thursday morning that Greg Horan would be replaced by former Qantas and Boral executive Tino La Spina, as first reported by The Australian Financial Review. The company also said its chairman, Len Chersky, would be handing over to Brookfield executive Sophia Rihani. She already sits on the Healthscope board.