Seven months after pulling out of the race for Singapore’s Parkway, Fortis Healthcare, India’s second-largest hospital chain, on Thursday announced its first venture in the city-state, with a S$33-million (about Rs 118 crore) acquisition of an under-construction specialised cancer hospital.
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Malvinder Mohan Singh" height="120" alt="Malvinder Mohan Singh" hspace="5" width="100" align="left" src="/newsimgfiles/2011/february/25022011/022511_26.jpg" />Fortis Global Healthcare that handles the international business interests of promoters Malvinder Mohan Singh and Shivinder Mohan Singh, acquired the facility from Singapore-listed realty company First Real Estate Investment Trust, thereby completing three acquisitions in the last five months. The construction of the hospital is expected to be complete by the second quarter of 2012.
In November 2010, Fortis Global Healthcare had acquired Hong Kong-based primary healthcare network Quality Healthcare and in January this year, picked up a 30 per cent stake in Australia’s largest dentistry network, Dental Corporation. “Through this hospital, we are making a beginning in the highly recognised and competent healthcare delivery system of Singapore. Our group incorporates more than 25 years of experience in healthcare delivery and this hospital will benefit from that experience, to meet patient expectations in Singapore. We will continue to look for opportunities to further expand our presence in the region,” Fortis Global Healthcare Executive Chairman Malvinder Singh said in a statement.
Although the under-construction facility was valued at S$28.2 million at the end of last year, Fortis will be paying 17 per cent, or S$4.8 million, more for the property and will develop it into a specialty oncology and surgical hospital, with new generation critical and intensive care services. The acquisition also caps Fortis Healthcare’s extended struggle to establish a proper footprint in Singapore, dubbed as a hub for its plans of creating an integrated healthcare delivery system in Asia and Australia region.
Last July, Fortis was engaged with Malaysian state investor Khazanah in a takeover battle for Singapore-listed hospital operator Parkway, but finally backed out after about two months of wrangling over the asset. Subsequently, though, Fortis had said that it would look for a real estate investment trust or secondary listing on the Singapore stock exchange.
