Fortis Healthcare to acquire buy Singapore-based group firm
19 September 2011
Hospitals chain operator Fortis Healthcare (India) Ltd is acquiring its Singapore-based group firm Fortis Healthcare International Pte Ltd to form one of the largest healthcare delivery networks in the Asia-Pacific region.
The acquisition of Fortis Healthcare International would be from RHC Financial Services (Mauritius) Ltd, a company owned by the promoters of Fortis Healthcare India. The valuation for the acquisition would be conducted by an independent agency, it said in a statement.
''Our vision is to create a leadership position in integrated healthcare delivery in the pan Asia Pacific region. This integration is a fundamental step in that direction. With the region's increasing urbanisation, aging population and greater access to new medical technologies, the demand for more and better healthcare is rising sharply. Fortis looks to capture this opportunity. This integration provides us the model and the scale to harness the opportunity," chairman Malvinder Singh said.
Fortis Healthcare International is an integrated healthcare delivery firm with presence in nine countries including Hong Kong, Australia, New Zealand, Singapore, Sri Lanka, Dubai Vietnam, Mauritius and Canada.
The company's board has also decided to change Fortis Healthcare India's name to Fortis Healthcare Ltd.
Fortis Healthcare India had scaled its operations from a single hospital in 2001 to a network of 66 hospitals in 2011 and 190 diagnostic labs across India.
Following the integration, the combined entity will benefit from size and scale, and leverage its network spread across various countries with wider service delivery capabilities.
The combined entity will have a strength of over 4,000 doctors.
Fortis Healthcare International had recently acquired a 65-per cent stake in Hoan My Medical Corporation, one of Vietnam's largest private healthcare provider groups with over 1,100 beds across 6 hospitals.
The new management structure of the combined entity will be aligned to manage the global business of Fortis Healthcare, including India.
Malvinder Mohan Singh will be the executive chairman of Fortis Healthcare, while Shivinder Mohan Singh will be its executive vice chairman. Vishal Bali will be Fortis Healthcare's global chief executive officer.
The Indian operations will be headed by Aditya Vij, as its India CEO who will focus on the Indian expansion while the international business will be headed by Eng Aik Meng and will focus on all expansions outside of India.
Global functional heads will manage the key business functions of the combined entity.