Fortis inks pre-IPO pact with Trinity for 6mn shares more

New Delhi, 19 March 2007: Fortis Healthcare Limited ("FHL"), one of the largest private healthcare companies in India*, today announced the signing of a definitive agreement (the "pre-IPO agreements") for investment in the equity shares of FHL.

The pre-IPO agreement is for allotment of 6 million shares to Trinity Capital (Eight) Limited ("Trinity") for a total amount of Rs 870 million. The equity shares issued pursuant to the pre-IPO agreement shall be subject to lock-in after the completion of the IPO, as per SEBI regulations.

Trinity was created in 2006 for the purpose of investing in real estate and real estate related entities across India. On admission to the London Stock Exchange in April 2006, Trinity raised £250 million of equity by way of an offer to institutional investors.

FHL had earlier signed two pre-IPO agreements in December 2006 and another in January 2007 for allotment of a total of 4 million shares for Rs 560 million.

Subsequent to this and previous pre-IPO investments, the number of equity shares to be issued to the public in the IPO will be further reduced to the extent of the number of equity shares issued in the pre-IPO investments.

Commenting on the development, Mr. Shivinder Mohan Singh, Managing Director, Fortis Healthcare and Escorts Heart said, "We are happy that an existing shareholder like Trinity which had bought 2 million shares in January this year, has increased its shareholding in the company by another 6 million shares."

*based on the number of hospital beds according to CRIS-INFAC Report 2005 FHL currently has a network of 11 hospitals primarily in North India and 16 satellite and heart command centers (including one heart command center in Afghanistan). The hospitals include multi specialty hospitals, as well as super-specialty centers providing tertiary and quaternary healthcare to patients in areas such as cardiac care, orthopedics, neurosciences, oncology, renal care, gastroenterology and mother and child care. The hospitals that FHL manages include Fortis La Femme, a "boutique" style hospital that focuses on women's health and maternity care.

The Book Running Lead Managers to the issue are JM Morgan Stanley Private Limited, Citigroup Global Markets India Private Limited and Kotak Mahindra Capital Company Limited.

About the Company

Fortis Healthcare Ltd. (FHL), a Ranbaxy promoter group company, was incorporated in the year 1996. Fortis Healthcare Limited was founded on the vision of creating an integrated healthcare delivery system. Based in Delhi, FHL, which acquired Escorts Heart Institute and Research Centre Limited in September 2005, has operations in Delhi, Noida, Mohali (Chandigarh), Amritsar, Faridabad, Raipur and Srinagar. FHL has a network of 11 hospitals with an installed bed capacity of approximately 1,790 beds and has performed more than 5,000 open heart surgeries, 5,000 angioplasties and 15,000 angiographies in the last fiscal year.*

*on a pro forma basis taking into account the Escorts hospitals acquisition, the IHL acquisition and the OBPL acquisition