Fortis Healthcare slips 15% as Malaysian firm denies stake buy report

The stock slipped 15% to Rs 168 on NSE on back of heavy volumes.

Fortis Healthcare has slipped 15% to Rs 168 on the National Stock Exchange (NSE) after Malaysian hospital chain, IHH Healthcare Berhad (IHH), said it was nowhere close to concluding a deal in healthcare services provider.

In a filing with the Malaysian stock exchange, IHH said, “IHH is not, nor is it close to, concluding any negotiations or due-diligence or transactions in India at this point in time,” the Business Standard report suggests. CLICK HERE TO READ FULL REPORT.

On June 15, Fortis Healthcare in regulatory filing said that the board of the company had approved the enabling fund raising options upto Rs 5,000 crore including but not limited to qualified institutional placement, foreign currency convertible bonds or any other method and the said proposal was duly approved by the shareholders of the company.

The company is still evaluating the best possible way to raise the fund and no firm decision in this regard has been approved by the board till date.

Fortis Healthcare made a clarification of news reports that "IHH team in India to discuss Fortis deal; Sources say IHH may buy majority stake that would trigger open offer; Deal may value Fortis at $2 billion."

At 11:05 am; the stock was down 10% to Rs 177 on NSE as compared to 0.26% decline in the S&P BSE Sensex. A combined 16.09 million shares changed hands on the counter on BSE and NSE so far.