IHH Healthcare Bhd said it will fully cooperate with a forensic audit involving Fortis Healthcare Ltd after India’s Supreme Court disposed of Fortis’ Special Leave Petition challenging an earlier Delhi High Court order requiring the review.
In a statement issued Sunday, IHH reiterated that its 2018 acquisition of a 31% stake in Fortis through subsidiary Northern TK Venture Pte Ltd was conducted through a competitive and regulated bidding process, with the necessary corporate, shareholder and regulatory approvals.
IHH invested INR40 billion, or INR4,000 crore, through a preferential allotment of newly issued Fortis shares, alongside a mandatory tender offer to public shareholders.
The healthcare group stressed that it did not acquire secondary shares from former Fortis promoters Malvinder Mohan Singh and Shivinder Mohan Singh and made no payments to them.
The Singh brothers had resigned from the Fortis board in March 2018, months before IHH completed its investment in November that year.
IHH also said it was not a party to the dispute or execution proceedings between Daiichi Sankyo and its judgment debtors, although delays in securing approvals for its mandatory tender offer had affected the group.
“We will fully cooperate with the forensic audit and are confident that an independent review will objectively establish the facts surrounding the transaction,” IHH said.
Despite the legal developments, IHH reaffirmed its long-term commitment to India and outlined plans to deepen its investment in Fortis.
