Fosun entry heats up battle for Fortis

The fight for acquiring crisis-hit Fortis Healthcare has hot up with the entry of one more contender entering the fray for the hospital chains.

In a late night filing to BSE on Tuesday, Fortis Healthcare said it has received an unsolicited non-binding offer from Chinese firm Fosun Health Holdings, making it the fourth bidder for the beleaguered firm.

There are rumours that Mumbai-based hospital chain Radiant Lifecare, which is backed by buyout firm KKR, is also joining the fray for Fortis Healthcare. Malaysia's IHH Healthcare, Manipal Health Enterprises Pvt Ltd and Burmans and Munjals jointly are already in the race for buying Fortis.

Fortis said it has received an unsolicited non-binding expression of interest from Fosun Health Holdings Ltd, an arm of Fosun International Ltd, with a proposal of primary infusion at a price up to Rs 156 per share up to a total investment of $350 million (over Rs 2,295 crore), Fortis said in its exchange filing. According to Fosun, the offer will be subject to due diligence to be completed within three weeks.

The investment of $350 million includes a preliminary investment of up to Rs 100 crore and is further subject to certain conditions, it added. The Rs 100 crore investment is on the condition that Fortis agrees to a one month period of exclusivity to Fosun to undertake diligence and negotiate the proposal, the letter by Fosun to the board of directors of Fortis said. "We believe our proposal outlined in this letter will best support the company's (Fortis) immediate needs, while supporting the company and its existing investors at a fair valuation to optimise the long term return," it added. As part of the proposal, Fosun would also seek specific rights commensurate with its investment including, but not lim-