Fortis Healthcare Bidding War: The Story So Far
Fortis Healthcare Ltd (FHL), which runs about 30 hospitals in India, has become a target of a heated takeover battle, with five entities bidding for the embattled company. Fortis has set up an advisory committee to evaluate binding offers from suitors vying to acquire the company, or take a stake in it.
May 1 is the deadline for binding offers, which will be evaluated by an expert advisory panel. The board is set to meet on May 10.
Following are the details of the bids:
March 27: Manipal Hospitals Enterprises Private Ltd offers to buy Fortis' hospital business
Fortis shareholders to get 10.83 shares in Manipal Hospitals for every 100 Fortis shares held. Binding offer to buy 20% of SRL's share capital from company for roughly Rs 700 crore ($104.38 million) and 30.93% from the PE investors for about Rs 1,113 crore. Total infusion of about Rs 3,900 crore by Manipal promoter and TPG Asia VII SF
April 10: Manipal sweetens bid for Fortis hospitals
Revises offer to Rs 155 per share. SRL Ltd, in which Fortis holds a stake, to continue to beFHL subsidiary. Boards of SRL and FHL to consider the merger of both companies. Manipal to undertake rights issue for up to Rs 4000 crore. Afterward upward revision, equity value stands at Rs 6,061 crore.
April 12: Unsolicited binding offer From Hero Enterprise Investment Office and the Burman Family Office.
Unsolicited binding offer to invest Rs 1,250 crore via preferential allotment route
April 13: Malaysia's IHH Healthcare Berhad tops Manipal's bid
Unsolicited non-binding expression of interest for Rs 160 per share
April 17 - China's Fosun International's unit Fosun Health Holdings submits offer
Unsolicited non-binding expression of interest shall notenable Fosun to hold more than 25 percent of Fortis securities. Primary infusion at up to Rs 156 per share,subject to due diligence to be completed within three weeks, upto total investment of $350 million
April 18: IHH Healthcare revises its offer
Offer is contingent on due diligence, IHH is ready to infuse Rs 4000 crore at price up to Rs 160 rupees per shares
April 19 - Munjals, Burmans revise their offer
Revise their offer to invest Rs 1500 crore ($227.20mln) directly into the company. Upfront investment of Rs 750 crore with Rs 500 crore via preferential issue of shares; Rs 1,000 crore rupees via preferential issue of warrants. Group said they seek two board seats and recommend that more independent directors be added
Radiant Life Care Private Ltd offers to invest in Fortis
Gets unsolicited non-binding expression of interest from Radiant Life Care with a proposal for investing and/orre-structuring Fortis * Proposal includes offer for demerger of hospital business from FHL into a new company. The all-cash offer is Rs 126 per share; it values the whole of Fortis at Rs 165 per share, or Rs 8,558 crore , including the SRL stake. Offer subject to Radiant being able to buy 26 percent or more shares of the new company via open offer
April 24: IHH Healthcare tweaks earlier proposals
Offers to immediately infuse Rs 650 crore under a binding proposal and subsequently invest up to Rs 3350 crore under a non-binding proposal
Radiant Life Care revises offer for Fortis
Makes binding offer for Fortis Mulund Hospital at an enterprise value of Rs 1200 crore.
Retains proposal to demerge Fortis' hospital business into a new company Proposes to spin off Fortis' SRL business. The offer values FHL at Rs 170 or Rs 175 per share, depending upon SRL's valuation after proposed demerger. The all-cash offer of Rs 126 per share for the hospital business stays, which excludes SRL stake
Manipal raises Fortis offer
Raises offer to Rs 6322 crore from Rs 6061 crore. To provide financial assistance of up to Rs 750 crore. In addition to buying the SRL stake from PE investors, Manipal to acquire a 5 percent stake in SRL from Fortis
May 01: IHH Healthcare sweetens bid
Immediate equity infusion at Rs 175 per share
Subsequent equity infusion at price up to Rs 175 per share
Munjals & Burmans submit modified investment proposal
Raises offer to invest Rs 1800 crore, including upfront investment of Rs 1050 crore, via subscription to shares and warrants
Offer comprises Rs 800 core via preferential issue of shares, Rs 1000 crore via preferential issue of warrants
Shares valued at Rs 167 a piece, while each warrant to fetch Rs 176
May 6: Manipal sweetens bid again, outlines cash injection plan
Values Fortis at Rs 8,358 crore rupees, i.e. Rs 160 rupees per share
Offers to inject Rs 2100 crore by way of preferential allotment, giving Manipal and TPG the right to appoint non-executive directors, provided Fortis board has a minimum of seven directors
SRL board to be restructured post acquisition of PE stake; deal to be reworked as previous term sheet had expired.
(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)
