Fulfilling a long-term strategic plan to bolster its position in the Indian market, IHH Healthcare (IHH) finalised the successful acquisition of a 31.1 per cent stake in Fortis Healthcare along with 26 per cent equity interest in its listed subsidiary Fortis Malar Hospital on 13 November 2018.
The transformational acquisition has made headlines in India, as IHH pulled ahead of its competitors to become one of the leading private healthcare providers in the country.
“IHH has already been actively expanding and deepening our presence in our home market of India over the last few years and this acquisition is a natural progression in our expansion and plans across India. This win-win combination will make IHH the leading healthcare service provider in India, while giving Fortis Healthcare and its stakeholders certainty and clarity on the future of the group,” said Dr Tan See Leng, Managing Director and Chief Executive Officer of IHH Healthcare.
Fortis is the second largest hospital chain in India with 32 hospitals and 5,000 beds. With a strong presence in India’s northern territories, it complements IHH’s existing India Operations which comprise a network of Gleneagles Global and Continental Hospitals as well as a referral centre and a medical clinic in Southern India.
With Fortis coming into its fold, IHH today has a total of 83 hospitals and more than 15,000 beds in 12 countries.
Fortis also gives IHH an immediate boost of more than 2,600 doctors and 13,200 support staff, bringing its total staff strength from 35,000 to 55,000.
Leveraging IHH’s international execution track record and expertise and the natural synergies between India Operations and Fortis in management, administration and operations, IHH is well positioned for future growth opportunities in India.
The acquisition of a controlling stake in Fortis Healthcare, one of the leading healthcare service providers in India, represents a transformational investment for IHH and demonstrates our commitment to invest considerable resources to expand and consolidate our footprint in India. We remain confident in our ability to deliver sustainable, long-term growth and value creation for our shareholders.
- Dato Mohammed Azlan bin Hashim, Chairman of IHH Healthcare
Dr Ashutosh Raghuvanshi is the new Chief Executive Officer of Fortis Healthcare starting 18 March 2019.
Dr Raghuvanshi is a seasoned healthcare professional with an illustrious career spanning over 26 years. He is a successful and well-recognised paediatric cardiac surgeon and an able administrator, known for his strong record of building and leading great teams and delivering results.
Prior to joining Fortis, Dr Raghuvanshi was with Indian healthcare group, Narayana Hrudayalaya, for over 18 years.
Dr Tan See Leng, Managing Director and Chief Executive Officer, IHH Healthcare, said, “With the healthcare industry in India witnessing a strategic paradigm shift in current times, Dr Raghuvanshi’s experience will provide strategic direction and vision to the company and will ensure that our focus on clinical excellence, outcomes, patient centricity and business results remains paramount.”