Files red herring prospectus with SEBI to enter market

Virendra Pandit

Business plans

Open to

adopt all three business models of acquisition, green-field development and public-private partnership.

Aims to

tap the immense potential of general healthcare sector as well as medical tourism.

Open to

adopt multiple hospital, multiple models and "deep strategy" .

Ahmedabad, Oct. 18

Fortis Healthcare Ltd, promoted by Ranbaxy Laboratories Ltd, is scouting to set up shop in Gujarat where it is open to adopt all three business models of acquisition, green-field development and public-private partnership. The aim is to tap the immense potential of general healthcare sector as well as medical tourism that attracts a large number of Non-Resident Indians to the State each year.

"We are looking at the possibility of managing government hospitals, setting up our own healthcare facilities and entering into management contract with private parties as well,'' the company's Group Managing Director, Mr Shivinder Mohan Singh, told

Business Line

here. "We are on a reconnaissance tour of Gujarat."

The company is discussing various possibilities with the State Government officials and others but declined to elaborate.

But he said Fortis is open to adopt multiple hospital, multiple models and "deep strategy" in Gujarat as it has done since setting up the first facility at Mohali in 2001.

It has so far set up a chain of 12 hospitals, mainly across North India, and 15 satellite and heart command centres in hospitals across the country as part of its "hub-and-spoke" model for hospital networking.

Public offer

Fortis Healthcare Ltd has filed its Draft Red Herring Prospectus with the Securities and Exchange Board of India on September 29 with its proposal to enter the capital market with its initial public offering.

The company proposes to offer 56,666,633 equity shares of Rs 10 each for cash at a premium to be decided through the 100 per cent book-building process to be listed on the Bombay Stock Exchange and the National Stock Exchange.

It The company's restated total income for the fiscal 2006 was nearly Rs 440 crore.

(This article was published in the Business Line print edition dated October 19, 2006)
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