Fortis Healthcare acquired of 74.59 per cent stake in its Group Firm Super Religare

Fortis Healthcare declared on 13 May 2011 that it acquired of 74.59 per cent stake in its group firm Super Religare Laboratories (SRL) for Rs 803 crore. Fortis Healthcare is promoted by billionaire brothers Malvinder Mohan Singh and Shivinder Mohan Singh. Malvinder and Shivinder Singh have sold their majority stake in privately held diagnostics chain, Super Religare Laboratories (SRL), to their public-listed hospital chain Fortis Healthcare (India).

The total cost for the acquisition was Rs 803 crore. Fortis had also acquired 86 per cent stake in SRL. Since then, private equity firm Avigo Capital Partners has picked up 9.27 per cent stake in SRL in a pre-IPO placement for an aggregate amount of nearly Rs 100 crore.

The acquisition of 86 per cent of capital with 52 million shares is now equivalent to about 75 per cent of the expanded capital post the preferential allotment to the two PE firms. SRL had in February 2011 filed a Draft Red Herring Prospectus (DRHP) with the Securities Exchange Board of India (SEBI) for a public issue of 28 million shares and the document is awaiting comments from Sebi.

SRL's present network consists of eight reference laboratories, seven centres of excellence, 181 network laboratories (164 pathology, 17 radiology), 15 wellness centres and 888 collection centres.

Fortis commissioned its first hospital in 2001 at Mohali, and has grown into a network of 56 hospitals with an over 8,000 bed capacity.