Health Business

Mar 04, 2011 (LBO) – India’s Fortis Healthcare group has bought a stake owned by Sri Lanka’s Distilleries in Lanka Hospitals, formerly part of the Indian Apollo chain, for 3.98 billion rupees as part of a recent acquisition spree. Fortis Healthcare Global Holding bought 64 million shares or a 28.6 percent stake of Lanka Hospitals Corporation at 62 rupees a share.

The deal was done through Religare Capital Markets joint-venture with Bartleet Mallory Stockbrokers the financial advisor to Fortis on the transaction, a statement said.

It quoted Malvinder Mohan Singh, executive chairman of Fortis Global Healthcare, as saying: Lanka Hospitals is the first step for Fortis Global to build its healthcare business interest in one of the fastest growing economies in Asia.

“We believe there are tremendous opportunities for the hospital™s expansion and we will support the company™s management in realising such growth.

The stake bought by Fortis had been owned by Harry Jayawardena’s Distilleries group.

The Fortis group, India™s second largest private hospital chain, runs 50 hospitals and has been buying overseas hospitals in recent months.

In February 2011, Fortis Global acquired a majority stake in Au