New Delhi, April 25 (IANS) Fortis Healthcare on Wednesday said that an offer made by Manipal-TPG providing a one-time waiver from the exclusivity provisions had actually sought to limit its ability “to run a competitive bid process”.
Manipal-TPG had offered to give Fortis a one-time waiver from the exclusivity provisions, providing limited ability to Fortis to allow due diligence.
However, the company, through a BSE filing on Wednesday, revealed that the offer had imposed “onerous conditions over and above the agreement signed on March 27”.
“As may be noted, the Manipal revised offer states that Manipal and TPG have given Fortis a one-time waiver from the exclusivity provisions under the implementation agreement signed with Manipal and TPG on March 27, 2018 by permitting Fortis with a limited ability to undertake a process by permitting due diligence,” the filing said.
“The aforementioned statement omits certain key facts, such as conditions of the waiver wherein Manipal and TPG sought to impose additional onerous conditions on the company over and above those contained in the Implementation Agreement that would limit the ability of Fortis to run a competitive bid process if such conditions were to be accepted.”
The development comes a day after Fortis received “improved” offers from IHH, Radiant and Manipal-TPG.
on Tuesday, the company said that its board has received a binding offer from Radiant to buy the healthcare major’s Mulund Hospital, without due diligence and “as a going concern at an enterprise value of Rs 1,200 crore”.
Besides the KKR-backed firm’s offer, the healthcare major received an “improved offer” from IHH Healthcare Berhad to directly invest in the company.
IHH made a binding offer, without the due diligence condition for an immediate investment of Rs 650 crore into the company.
On Monday, Hero Enterprise Investment Office and the Burman Family Office extended the validity of their “improved binding offer” till May 4.
In addition to Hero Enterprise Investment Office and the Burman Family Office’s proposal, Fortis Healthcare has received “an unsolicited non-binding” EoI from Fosun Health Holdings for a possible due diligence.
The company’s board has decided to constitute an “expert advisory committee” to evaluate all binding proposals for fund infusion. The panel is led by Deepak Kapoor, Former Chairman and CEO of Price Waterhouse Coopers, India.
The committee has been “requested to provide a report of its recommendation to the Board, by April 26, 2018”.
In a separate development, the company informed the BSE that Renuka Ramnath has resigned from its “expert advisory committee”.
It said her resignation will be tabled before the Board at the scheduled meeting on April 26 “for their consideration and vacancy so caused shall be filled, by the Board of Directors, with a person of eminent repute”.
On last Friday, the company had named Ramnath who is a former MD and CEO of ICICI Venture and Lalit Bhasin, President, Society of Indian Law Firms and Managing Partner, Bhasin & Co. as being part its “expert advisory committee”.