Published on : May 05, 2015
Singapore based arm of Fortis Healthcare, recently wrapped up the sale of its major international assets. As per reports Fortis will devolve 100 per cent stake in its Singapore based arm to Fulletron Healthcare Group in Radlink for SGD111 million.
In a statement recently released by the company, Fortis mentioned that it has decided to divest 100 per cent of shares that it has in RadLink-Asia and its ancillaries. The deal, as revealed in the recently published report, will be completed by 12th May. RadLink-Asia is known for the state of the molecular imaging services and art diagnostics it provides.
To clear the air of confusion around the organization’s decision to offload its stake in international locations, Fortis published a joint statement by Executive Chairman, Malvinder Singh, and Executive Vice Chairman Shivinger Singh, wherein they mentioned that decision was taken to unlock the business in Singapore, and plough back the investment to use the same in strengthening the growth of Fortis back in India.
Fortis has acquired RadLink in 2012-2013. As informed by senior officials from Fortis, the company is observing its strategic plan to divest from the international business to focus on its objectives of concentrating on the core diagnostics and hospital business in India.
To give a practical shape to this transaction, Religare Capital Markets and JP Morgan were financial advisors to Fortis. When Fortis had formally communicated its decision of withdrawing its stake from RadLink last year, the competition authority of Singapore had asked for a more detailed review of the decision to exit by Fortis. They expressed that the deal would considerably reduce the number of imaging services and radiology providers in the region.