Fortis will grow stronger under IHH ownership: Singh brothers

NEW DELHI: Former Fortis promoters, Singh brothers Friday said the hospital chain will grow stronger under the new ownership of IHH Healthcare.

Similarly, Munjals-Burmans combine which did not participate in the fresh round of bidding, also hoped that the Malaysian chain will bring its global capabilities to India, and take Fortis to new heights.

Congratulating IHH and Fortis in their new partnership, Malvinder Singh and Shivinder Singh said in a joint statement, "We are confident that the organisation will grow stronger under the new ownership, continuing to deliver world class quality care and always putting patients first".

The brothers, who have denied allegations that they took funds from the company further said, "We are very happy to note the successful completion and selection of IHH as the partner for Fortis".

In a separate joint statement, Hero Enterprise Chairman Sunil Kant Munjal and Dabur India Chairman Anand C Burman congratulated IHH Healthcare on being selected the new partner for Fortis Healthcare.

"Fortis is a great national asset, and we hope that IHH will bring its global capabilities to India, and will take Fortis to new heights. We wish them and the entire Fortis family the very best," they added.

Fortis Healthcare board on Friday approved Rs 4,000-crore offer from Malaysia's IHH Healthcare for 31.1 per cent stake in it, valuing the cash-strapped firm at Rs 8,880 crore thus ending months of takeover battle.

IHH Healthcare, which is expected to gain majority control of India's second-largest hospital chain after a mandatory open offer for an additional 26 per cent stake, said in the long term it will rebrand Fortis hospitals into its own Gleneagles chain.

The Malaysian healthcare major, which offered to infuse the capital at Rs 170 per share pipped rival Manipal-TPG combine's Rs 2,100-crore offer at Rs 160 per share.