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Fortis board to meet this week to consider takeover options

Reuters  |  MUMBAI 

(Reuters) - Healthcare Ltd said on Monday its board is expected to meet this week to look at all eligible options after the company received three bids from interested parties.

Indian rival had last month offered to buy the hospital business of Fortis, which is under investigation over financial fraud.

Earlier in the day, Malaysia's said declined to engage with the company regarding a takeover offer, citing binding agreements with other parties.

IHH, one of Asia's largest healthcare operators, offered to buy last week at a price that values the chain at about $1.3 billion -- higher than the roughly $1.2 billion valuation offer made by Manipal.

Some of Fortis's minority shareholders are dissatisfied with the Manipal offer, and it is unclear if the IHH price appeals to them.

A merger with a such as Manipal might make more sense, said an with a brokerage in Mumbai, adding that more details of the IHH offer were needed.

IHH operates across nine countries via a network of 49 including Mount Elizabeth and Gleneagles in

Two Indian investors - Sunil Munjal's Hero Enterprise and the -- offered last week to make an investment worth 12.5 billion rupees ($191.5 million) in Fortis.

Shares of Fortis fell about 2 percent on Monday after the announcement by IHH and ended 2.8 percent lower. IHH shares ended down 0.33 percent after trading was halted.

IHH said on Monday Fortis indicated it was unable to engage due to binding agreements with Manipal Health Enterprises Pvt Ltd, and private equity firm TPG

(Reporting by in and Tanvi Mehta in Bengaluru; Editing by and Sunil Nair)

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

First Published: Mon, April 16 2018. 16:05 IST