Our Bureau

New Delhi, July 22

The ongoing battle for Parkway Healthcare took a new twist on Thursday when Fortis Healthcare approached the Singapore's market watchdog Securities Industry Council alleging that Khazanah was misleading Parkway shareholders by claiming that the majority of them have voted in favour of the Malaysian fund's partial offer.

A letter to the SIC by Stamford Law Corporation and Rajah & Tann LLP (Fortis' legal representatives) said the press release issued yesterday by Integrated Healthcare Holdings (IHHL), the arm of Khazanah, calls into question the purpose and intention behind it.

IHHL had said on Wednesday that it has received the approval of the majority of eligible shareholders of Singapore-based hospital chain Parkway who have so far voted on its partial offer.

“This calls into question the purpose and intention behind the IHHL announcement whether the intention is to put a positive spin and mislead shareholders into thinking that shareholders support the partial offer,” the letter on behalf of Fortis said.

The Indian healthcare firm said IHHL's statement gave an impression that the latest development was a positive development for IHHL, when in reality both conditions to the partial offer remain unsatisfied.

IHHL also did not indicate how many shareholders voted for the partial offer before Fortis' open offer on July 1. “A significant portion of the votes might have been cast before the Fortis pen offer,” Fortis said.

Fortis requested the SIC to seek a clarification from IHHL and issue a public statement.

Related Stories:
Offer for Parkway: Khazanah gets 5% of target
Fortis sweetens bid for Parkway
Fortis gets time till July 30 to decide on counter offer for Parkway
Fortis may overcome Khazanah hurdle in Parkway buy
Malaysia's Khazanah queers Fortis pitch for Parkway
Fortis buys 23.9% stake in Singapore's Parkway

(This article was published in the Business Line print edition dated July 23, 2010)
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