The race for cash-strapped Fortis is getting fiercer by the day. After China’s Fosun Health Holdings, the latest to throw the ring in the hat is Malaysia’s IHH Healthcare, again. The company, after earlier making a non-binding offer to invest Rs 4,000 crore at Rs 160 per share, has now made a binding offer to immediately invest Rs 650 crore as part of its earlier proposal of the total infusion of Rs 4,000 crore. China’s Fosun Health Holdings, TPG-Manipal combine, and Munjal-Burman family combine have also made their offers to buy Fortis. The latest revised offer gives the Fortis board one more option to look at when it meets on Thursday.
On Tuesday, Fortis Healthcare said: “The Board of Directors of Fortis Healthcare has received an unsolicited binding offer from IHH Healthcare Berhand with a proposal to invest in the company. The company has received an improved offer from IHH to invest directly in the company.”In its proposal to Fortis, IHH has said it is committed to investing in the company. “Our revised proposal is based on our assessment that the company needs Rs 4,000 crore to meet immediate liquidity requirements for working capital and other near-term funding requirements.”
Fortis has received five bids in all– from Manipal-TPG (which valued it at Rs 155 per share), Munjal-Burmans (at Rs 160 per share), IHH Healthcare (Rs 160 per share), Fosun (Rs 156 per share) and KKR-backed Radiant Life Care (Rs 165 per share).
The company’s board, which met last week, said the advisory committee will meet on April 25 to evaluate binding offers and recommend the best one to it. The board is expected to take a decision on April 26.