Fortis to buy 24% Parkway Holdings pie for $685 mn

Hospital chain Fortis Healthcare on Thursday said it is acquiring 23.9 per cent stake in the Singapore-based healthcare firm Parkway Holdings for about $685.3 million (nearly Rs 3,100 crore).

The Indian heathcare major will acquire stake in Parkway Holdings from TPG Capital (formerly Texas Pacific Group).

"Fortis has entered into a definitive agreement with TPG Capital, one of the world's leading private investment firms, to acquire its 23.9 per cent stake in Parkway," Fortis said in a statement.

Fortis intends to seek four seats on the board of directors of Parkway and also to nominate Malvinder Mohan Singh (current chairman of Fortis Healthcare) as the chairman of the board of Parkway, it said.

"This acquisition will significantly expand our footprint across the region and place us strategically for geographical and clinical leadership in Asia, a big step closer to our vision of establishing a global healthcare delivery network," Singh said.

Parkway Holdings is counted as Asia's premium healthcare provider, with a network of 16 hospitals, having 3,400 beds, spread over six countries, including India.

For Fortis, this comes on the heels of the Wockhardt hospital acquisition in India.

On the National Stock Exchange, shares of Fortis settled at Rs 180.55, up by 6.05 per cent over the previous close.