Outcome of board meeting of Max Healthcare Institute

At meeting held on 13 September 2024

The Board of Max Healthcare Institute at its meeting held on 13 September 2024 has approved execution of strategic collaboration agreement with Lakshdeep Investments and Finance and Lakshdeep Infrastructure and Holdings (collectively referred to as Lakshdeep Group). Lakshdeep Group entities are indirect holding companies of Jaypee Healthcare (JHL) who have been permitted to work out / submit a viable plan/solution in relation to the revival of JHL vide order dated 11 July 2024 of Hon'ble National Company Law Appellate Tribunal (NCLAT), Delhi.

The NCLAT has approved the settlement agreed to between Lakhsdeep Group and the Committee of Creditors of JHL (CoC) vide its order dated 12 September 2024.

 

The Company, as strategic partner under the aforesaid arrangement, shall enter into an agreement to acquire ~64% equity stake of JHL within 30 days of NCLAT order. The Company proposes to enter into option agreement for acquisition of remaining ~36% equity stake.

The Board has also approved raising of funds by way of short term loans at the Company level up to Rs 1,000 Crore for settlement of admitted claims of the financial creditor of JHL and utilization of internal accruals of the Company for the proposed purchase of equity shares of JHL.

Further, the Company shall also organize loan at JHL level for the repayment of its short term debt.In this regard, the Board has also approved issuance of corporate guarantee to the bank/ financial institution for loan proposed to be extended to JHL.

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