Fortis to buy Guru Nanak Hospital for Rs 300 crore
Ranbaxy Group-promoted Fortis Healthcare is close to acquiring Mumbai-based Guru Nanak Hospital & Research Centre for roughly Rs 200-300 crore.
Fortis, currently looking to raise Rs 700-900 crore through an initial public offering (IPO), had made the biggest acquisition in Indian healthcare a year ago when it bought Escorts Heart Institute & Research Centre for Rs 650 crore. It is on the lookout for more.
The target this time is a 150-bed general hospital in Bandra, Mumbai, which will provide Fortis a presence beyond north India, something it has been attempting for a while now.
“A strategic alliance has been signed today between Fortis and Guru Nanak Hospital,” said an industry source. Guru Nanak Hospital Director Rajeev Boudhankar confirmed that many hospital groups had approached them for a strategic buy-out but denied the Fortis alliance.
Though the nature of the alliance is yet to be revealed, sources close to the development said Fortis might acquire a management interest in the Mumbai hospital.
While Shivinder M Singh, Fortis’ managing director, declined to comment, a source close to the development said inorganic growth was a focus area for building scale and presence for the company.
“Fortis has been looking for a pan-India presence for some time and it will be replicating the model it followed in Delhi across the country,” he added.
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