Shares of Fortis Healthcare and Fortis Malar Hospitals added 4-11 percent in the opening trade on Friday as Fortis board approved the offer of IHH Healthcare Berhad.
The board approved the offer of IHH Healthcare Berhad for an equity infusion of Rs 4,000 crore at a price of Rs 170 per equity share into the company by Northern TK Venture Pte, Singapore, a wholly owned subsidiary of IHH Healthcare Berhad, Malaysia through a preferential allotment subject to approval of the shareholders.
The company had received two binding bids from the TPG-Manipal Consortium and IHH Healthcare Berhad.
Fortis Healthcare, Fortis Malar up 4-11% on accepting IHH Healthcare proposal
Northern TK Venture Pte is to make a mandatory open offer to the public shareholders of the company and Fortis Malar Hospitals.
The transaction is expected to be completed within seven business days of receipt of shareholder’s and CCI’s approval which will be obtained concurrently with shareholder’s approval and can take approximately 60-75 days.
Bhavdeep Singh, CEO of Fortis Healthcare said “The proposed partnership with IHH presents exciting opportunities for Fortis while also delivering a number of synergistic avenues for the business.”
At 09:17 hrs Fortis Healthcare was quoting at Rs 147.20, up 3.55 percent and Fortis Malar Hospitals was quoting at Rs 56, up 9.06 percent on the BSE.