More non-core businesses will be sold in three to six months, the Wockhardt Chairman, Mr Habil Khorakiwala, told shareholders on Monday.
The debt-ridden drug-maker has in the last 10 days announced the divestment of its German and animal health businesses, as part of its restructuring exercise to raise funds. The company had a debt of Rs 3,400 crore on December 2008.
The corporate debt restructuring exercise undertaken by Wockhardt is on, with the lenders meeting last week, he said. Details are being worked out and will be with the company in a week, and the final legal shape will take another four to six weeks, he said.
Regarding Wockhardt’s FCCBs, he said, as part of its restructuring, the company was looking at alternatives including a buyback, if available at a discount. The FCCB of $108 million is to mature in October. Mr Khorakiwala also said that legal avenues such as arbitration will be looked at to settle some disputed bank transactions.
For the first time, Mr Khorakiwala went on record to say Fortis Healthcare was interested in picking up equity in Wockhardt Hospitals. “We are not going out of the hospital business,” he said, adding that Fortis is not the only interested company.
Source: The Hindu Businessline