IHH Healthcare shares fall after expressing readiness to infuse RM2.4b into Fortis

PETALING JAYA: IHH Healthcare Bhd, which made an offer to invest up to 40 billion rupees (RM2.36 billion) into India’s Fortis Healthcare Ltd, saw its share price fall 1 sen this morning.
At 11.36am, its share price was 0.16% or 1 sen lower at RM6.09 with 462,200 shares traded. The stock closed 2 sen higher at RM6.10 yesterday with 4.2 million shares traded.
IHH told Bursa Malaysia yesterday that it is ready to invest up to 40 billion rupees through a preferential allotment of equity shares at a price not exceeding 160 rupees per share. The offer is subject to satisfactory completion of due diligence.
The investment is intended to fund the buyout of the assets from RHT Health Trust as well as provide immediate liquidity towards working capital and infrastructure upgrades.
IHH’s offer for Fortis was rejected recently and the investment offer comes as Fortis announced that it had received an improved binding offer worth 15 billion rupees from Hero Enterprise Investment Office and Burman Family Office.
Fortis has two other offers on the table - one up to US$350 million (RM1.36 billion) from Fosun International Ltd and another a 155 rupee a share bid from Manipal Hospitals Enterprises.