Fortis Healthcare board gives nod to raise Rs 1500 crore through NCDs

Fortis Healthcare Ltd on Wednesday said its board has approved a plan to raise up to Rs 1,500 crore through issue of non-convertible debentures on a private placement basis.

The decision was made during the company's board meeting held on Wednesday.

The company told stock exchanges that eligible investors include but anchor investors such as DBS, HSBC, Citicorp Investment Bank (Singapore), Mizuho Bank, Singapore and other foreign portfolio investors qualified during the bidding process.


The Rs 1500 crore will be raised through three series of NCDs with DBS Bank Ltd as anchor investor for Series 1 for up to Rs 500 crore; HSBC through its GIFT FPI as anchor investor for Series 2 of up to Rs 500 crore; and Citicorp and Mizuho as anchor investors of Series 3 of Rs 500 crore.

The NCDs will have a tenure of five years from the date of allotment and are proposed to be listed on Bombay Stock
Exchange, the company said.

Fortis in August announced that it will raise funds through NCDs to acquire an additional 31.52% stake in Agilus Diagnostics from the PE investors. At present, the private hospital chain holds a 57.69% stake in Adilus Diagnostics, the company said through an exchange filing. Currently, International Finance Corp. holds a 7.61% stake, while NYLIM Jacob Ballas India Fund III LLC. and Resurgence PE Investments Ltd. hold 15.86% and 8.05% stakes, respectively. International Finance Corp., NYLIM Jacob Ballas India Fund III and Resurgence PE Investments are collectively referred to as PE investors.