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Manipal Hospitals sweetens bid for Fortis hospital unit

Reuters 

(Reuters) - India's on Tuesday raised its offer price to buy Healthcare Ltd's hospital business by 21 percent, in an effort to douse any opposition from minority shareholders.

The new offer values Fortis' hospital business at 60.61 billion rupees ($933.2 million), or 116 rupees per share, said in a statement.

The deal, unveiled late last month, was expected to run into opposition from minority shareholders as investors expressed their unhappiness by sending shares down 14 percent.

had initially said the deal would be worth 150 billion rupees, according to the estimated value of both firms and the cash involved. He had not give a breakdown of the cash and equity portions of the deal.

The deal proposes to create a combined company, Hospitals, that would be listed on India's bourses. About 38 percent would be owned by Ranjan Pai, while U.S. buyout firm would hold 20.7 percent.

If successful, the acquisition would create one of India's biggest and help resolve an uncertain outlook for Fortis, which has been under a cloud as authorities investigate whether its founders siphoned funds out of the company.

(Reporting by in Bengaluru; Editing by Anil D'Silva)

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Wed, April 11 2018. 00:07 IST
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