IHH wins race to acquire Fortis with Rs 40-bn bid, beats TPG-Manipal

Outbids TPG-Manipal combine, will invest Rs 40 bn at Rs 170 a share through preferential allotment

One of the largest healthcare group's in the world by market capitalisation, IHH Healthcare Berhad, has emerged as the winner in the race to acquire India's second-largest healthcare network Fortis Healthcare Ltd (FHL) by outbidding the other contender, the TPG-Manipal combine. IHH will invest Rs 40 billion at Rs 170 per share through a preferential allotment.

Both Fortis and Fortis Malar stocks responded positively to the news, going up by four per cent and eight per cent respectively during the day's trade. 

The Fortis board unanimously chose the IHH offer over TPG-Manipal's for the simplicity of the proposal, relative certainty