Indian hospital operator Fortis Healthcare makes a return to a conventional business model with the buyback of its Indian hospital assets. It completed the acquisition late last year for a consideration of about ₹46.5 billion (US$653 million).
The company made a transition to an asset-light model in 2012, when it spun-off and listed its physical assets as a business trust in Singapore. However, in late 2017, Fortis decided to buy back the Indian assets – clinical establishments and hospitals – from business trust RHT Health Trust (RHT).
The deal involved the acquisition of equity securities, compulsorily convertible debentures and non-convertible bonds of the Indian entities from wholly owned subsidiaries of RHT.