IHH in its letter to the company's Board on April 11, 2018 made an offer of Rs 160 per Fortis share. In the revised offer, Manipal Group has pegged the hospital business of Fortis Healthcare at Rs 6,061 crore against the original offer of Rs 5,003 crore.
On Monday the Malaysian firm said the Fortis board sent it a response letter indicating it was unable to engage with IHH due to binding agreements with Manipal Health Enterprises Private Ltd, Manipal Global Health Services and TPG Asia.
In addition, the company has received a non-binding expression of interest from IHH Healthcare Bhd, the statement said. Hero Enterprise Investment Office and the Burman Family Office have also made a binding offer to invest a total of ₹ 1,250 crore through a preferential share allotment at at least ₹ 156 rupees a share. Besides the hospital business, Fortis Healthcare holds a 57% stake in SRL Diagnostics, the valuation of which is around Rs 2,052 crore as Manipal Group is ready to pay Rs 720 crore for a 20% stake in SRL.
IHH said it could be Fortis' "best suited partner" in order for the company to tide through the current crisis in which Fortis had landed in, including regulatory investigations, lack of liquidity and capital, tepid operational performance, inability to access funds, as well as other litigation matters.
IHH added that it has not entered into discussion, negotiations or transactions with Fortis.
IHH said it will make appropriate announcements if there are any further material developments.
Notwithstanding anything in this letter, given the ever changing competitive dynamics, IHH reserves the right to pursue all necessary steps to ensure that the shareholders of Fortis are provided with the opportunity to realise the value inherent in our proposal including the right to revise the indicative offer price in any manner, IHH deems fit, he said in the letter.
Shares in IHH have been trading between steadily above the RM6-mark most of this month and rose to close at RM6.12 on Friday (April 13).