Fortis Healthcare gets CCI nod to acquire additional stake in Agilus Diagnostics for Rs 1,780 cr

Industry:    4 weeks ago

The competition watchdog CCI on Tuesday approved Fortis Healthcare’s proposal to acquire an additional 31.52 per cent stake in Agilus Diagnostics. Multi-speciality hospital chain Fortis Healthcare Ltd (FHL) is engaged in providing integrated healthcare delivery services like medicare, healthcare and diagnostics.

The diagnostics services business of FHL is being undertaken primarily through Agilus.

“Commission approves the acquisition of additional 31.52 per cent share capital of Agilus Diagnostics Ltd by Fortis Healthcare Ltd,” according to a post by CCI on X.

After the transaction, the shareholding of Fortis Healthcare Ltd (FHL) in Agilus will increase from 57.68 per cent to 89.2 per cent.

In August, Fortis Healthcare announced that it will acquire a 31 per cent stake in Agilus Diagnostics for Rs 1,780 crore valuing Agilus at Rs 5,700 crore.

The Competition Commission of India (CCI) has also cleared the proposed merger of Diliigent Power into DB Power, and the reorganisation of Decore Thermal Power pursuant to the buyback.

“CCI approves the proposed combination inter alia envisaging the merger of Diliigent Power into DB Power, and the reorganization of Decore Thermal Power pursuant to the buyback,” the regulator said.

Diliigent Power is engaged in the business of power generation through DB Power (DBPL) and is also engaged in the business of providing project management-related services to DBPL.

On the other hand, Decore Thermal Power is engaged in the activity of a holding company for its wholly-owned subsidiary DB Power (Madhya Pradesh) Ltd, which presently only holds certain land in Singrauli District, MP.

The deals beyond a certain threshold require approval from the regulator, which keeps a tab on unfair business practices as well as promotes fair competition in the marketplace.

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