Fortis Healthcare share price: Shares of Fortis Healthcare were lower on Thursday after the Supreme Court ordered the continuation of the suspension of IHH’s open offer. The stock traded at Rs 263 on Thursday, down about 16 percent. The stock ended the previous session at Rs 311.20 on BSE.
In its decision, the Supreme Court said the Delhi High Court will rule on the open offer proposed by IHH Healthcare.
Malaysian IHH Healthcare acquired a 31 percent majority stake in Fortis in 2018, triggering a mandatory open offer to acquire a further 26 percent of the market’s shares of the hospital chain.
It had acquired the stake in Fortis Healthcare in August 2018 by paying $1.1 billion in a bidding process overseen by an independent board.
However, the open offer could not go through due to pending legal proceedings related to the transaction based on a plea from Daiichi Sankyo.
Japanese drug maker Daiichi Sankyo had challenged the Fortis-IHH deal to recover the arbitration award of Rs 3,600 crore it won in a Singapore tribunal against Fortis’s former promoters, brothers Malvinder Singh and Shivinder Singh.
Daiichi Sankyo had filed the plea against the Singh brothers and Indiabulls, who alleged that the two had pledged 1.7 million shares of Fortis Healthcare owned by Fortis Healthcare Holding, despite the highest court forbidding it.
Daiichi is to recover Rs 3,600 crore won in an arbitration proceeding against Fortis’ former promoters Malvinder and Shivinder Singh.
Founded in 1996, Fortis Healthcare Ltd. is a Mid Cap company (with a market capitalization of Rs 23505.62 Crore) operating in the Hospitals and related services sector. For the quarter ended June 30, 2022, the company reported a consolidated total income of Rs 1,508.55 Crore, an increase of 8.99 percent from the last quarter’s Total income of Rs 1,384.09 Crore and an increase of 6.37 percent from last year in the same quarter Total income of Rs 1,418.15 Crore. The company reported net profit after tax of Rs 124.29 Crore in the last quarter.
Read all Latest business news and Important news here