Fortis Healthcare said its board has approved demerger of its diagnostics business into another group firm Fortis Malar Hospitals, a move aimed at ensuring independent growth of hospital as well as diagnostics business verticals. Fortis Healthcare BSE -3.27 % Limited announced that its board has approved demerger of its diagnostic business into listed subsidiary Fortis Malar BSE 2.98 % Hospitals through a composite scheme of arrangement and amalgamation.
Fortis said the company will pay Rs 43 crore for the acquisition of hospital’s business Fortis Malar Hospitals. It added that the company will demerge its diagnostics business including SRL into Fortis Malar Hospital. Further, in the filing, the company stated that hospitals business will be housed under Fortis Healthcare umbrella, while the diagnostics business will be enveloped by SRL. Post the makeover, promoters and promoter group will hold 63.09 percent in Fortis Healthcare while others will hold remaining 19.3 crore shares. Similarly, Fortis Malar Hospitals will have a promoter and promoter group shareholding of 41.92 percent.
Upon the effectiveness of the composite scheme, Fortis Malar would issue and allot to the equity shareholders of Fortis Healthcare, as on record date, 0.98 fully paid up equity shares of Rs.10 each for every 1 equity share of Rs.10 each held by them in Fortis Healthcare.
The equity shareholders of SRL will be issued and allotted 10.8 equity shares of Rs.10 each of Fortis Malar for every 1 equity share of Rs.10 each held by them in SRL as on record date.
The date for the slump sale, demerger and merger under the composite scheme is January 1, 2017.