Fortis says to buy overseas arm for $665 m

Thursday, 3 November 2011 00:16 - - {{hitsCtrl.values.hits}}

Reuters: Hospital chain Fortis Healthcare (India) said on Tuesday it will buy Singapore-based sister firm Fortis Healthcare International for $665 million.

The board of Fortis Healthcare had approved the buyout in September but had left the terms of the all cash-deal to be set by an independent valuer as the deal involved group firms.

Fortis Healthcare International is owned by the billionaire Singh brothers, Malvinder and Shivinder, who also control Mumbai-listed Fortis Healthcare.

The sister firm buyout, aimed at consolidating all the group’s health businesses under one company, had surprised the markets and prompted analysts to say the deal may stress Fortis Healthcare’s profits and balance sheet.