Fortis buys 29% stake in Mauritian hospital

NEW DELHI: Hospital chain operator Fortis Healthcare and Mauritius-based diversified industrial group CIEL together will acquire a 58% stake in Mauritius private hospital Clinique Darne for $7 million.

This acquisition marks the international foray for Fortis. CIEL and Fortis Healthcare���s wholly-owned subsidiary Novelife has invested $3.5 million each to pick equal stake of 29% in Clinique Darne, a company listed on the Stock Exchange of Mauritius, Fortis Healthcare MD Shivinder Singh said.

The 120-bed hospital largely provides medical services across different segments.

Fortis Clinique had operating margins of 21% on revenue of Rs 50 crore in 2007-08. Fortis plans to increase its capacity to 400 beds and upgrade it to a high-end hospital that can treat complicated medical procedures.

Fortis Healthcare shares rose 1.26% to Rs 64.45 on the Bombay stock Exchange on Thursday. Mr Singh added that the buyout came as a good opportunity even as the company���s focus will remain in India.

���There is a cultural fit as 68% of the population in Mauritius are Indians. The hospital will also cater to patients from Africa and neighbouring countries,��� he said. Fortis��� domestic competitor Apollo Hospital is also setting up a multi-specialty hospital in Mauritius.