Fortis 'Health' needs care!
Fortis Healthcare is the top loser on the BSE since morning. The stock dipped 19.5%, precipitously close to its 20% LC of the day at Rs.249. Volumes jumped up 8.3 times, with more sellers than biyers on the counter.
The stock price tumbled down after the Supreme Court today ordered the continuation of stay on IHH Healthcare's open offer and pronounced a six months jail term for Singh Brothers in the Daiichi-Ranbaxy case.
It also remanded the issue of the Fortis-IHH deal to Delhi High Court and directed it to consider a forensic auditor appointment for the deal and this means, three years after the deal was announced, it continues to remain on hold.
IHH Healthcare had acquired a 31% in Fortis Healthcare in 2018 for $1.1 billion through a bidding process, which in turn triggered off an open offer for 26%. But Daiichi Sankyo challenged the deal as it said it needs to first recover the Rs.3600 crore which it won in arbitration against Fortis’s Singh brothers.