INSUBCONTINENT EXCLUSIVE:
NEW DELHI: Fortis Healthcare has issued shares worth Rs 4,000 croreore to IHH Bhd, allowing the Malaysian healthcare group to finally pick
up 31.1 per cent stake in India's second largest hospital chain
The hospital group has also appointed four officials from IHH, including its chief executive officer Tan See Leng, to its board as
additional directors with immediate effect, Fortis told stock exchanges on Tuesday.
Apart from the IHH CEO, the reconstituted seven-member
board will now also include IHH chief financial officer Low Soon Teck, IHH group head of strategic planning and business development Chan
Boon Kheng and Bhagat Chintamani Aniruddha, the head of Khazanah Nasional Bhd's India operations.
"With this preferential issue, IHH has,
through NTK infused approximately Rs 4,000 crore of primary capital into the Company and NTK has become the controlling shareholder in the
Company with ~31.1 per cent stake on the expanded capital," Fortis told the Bombay Stock Exchange.
"Following this, the mandatory open offer
for acquiring upto 26 per cent of the expanded capital from the existing shareholders of Fortis at Rs 170 per share for a consideration of
upto Rs 3,300 crore would be completed in due course," it added
Depending on the shares tendered by the shareholders of Fortis, IHH-NTK would have between 31.1 per cent to 57.1 per cent stake on the
expanded capital, Fortis said.
Earlier this year, IHH won a prolonged four-way bidding war for a 31 per cent stake in Fortis Healthcare for
Rs 4,000 crore and committed an additional Rs 3,300 crore to acquire shares of minority shareholders through an open offer
When the acquisition is completed, IHH will get control of 34 hospitals acroreoss India with a capacity of over 4,000 beds.
The Competition
Commission of India approved this deal earlier this month.
