IHH Healthcare Completes Tender Offer for Fortis Healthcare

IHH Healthcare has completed its mandatory tender offer for Fortis Healthcare and Fortis Malar, increasing its ownership stakes to 31.17% and 62.73%, respectively. The announcement was made on December 15, 2025, marking the conclusion of a process delayed for years due to litigation involving former Fortis promoters and Daiichi Sankyo.

The completion of the open offers removes a major regulatory hurdle for IHH’s India expansion plans. This development positions the group to accelerate operational integration and strengthen its pan-India healthcare platform.

Ownership Stakes and Transaction Details

The tender offer resulted in IHH Healthcare holding 31.17% in Fortis Healthcare and 62.73% in Fortis Malar. Acceptance levels were low because market prices exceeded the offer price, but the transaction fulfils IHH’s regulatory obligations under Indian takeover norms.

The tender offer was initiated after IHH acquired a controlling stake in Fortis in 2018. With this step complete, IHH gains strategic flexibility to consolidate operations and pursue synergies across its network.

Integration Framework Between Fortis and Gleneagles

IHH Healthcare plans to integrate Fortis Healthcare with Gleneagles Healthcare India, its wholly-owned subsidiary. In July, Fortis agreed to manage five of six Gleneagles hospitals under an operations and maintenance framework.

This arrangement allows IHH to pool resources in procurement, talent, and specialised services while maintaining brand autonomy. The integration is expected to reduce duplicated overheads, standardise clinical protocols, and strengthen referral networks for complex cases.

Legal Delays and Compliance Milestone

The tender offer faced prolonged delays due to litigation linked to former Fortis promoters and Daiichi Sankyo. These disputes created uncertainty around IHH’s India strategy and slowed operational integration.

Completion of the offers removes this uncertainty and provides clarity to investors and stakeholders. The move also signals IHH’s long-term commitment to the Indian healthcare market and compliance with takeover regulations.

Expansion Plans and Market Position

IHH Healthcare operates 35 hospitals with 5,000 beds across 11 states in India. The group aims to add 2,000 beds by 2028, taking total capacity to 7,000 beds to meet rising demand for tertiary and quaternary care.

Integration of Fortis and Gleneagles is expected to improve operating efficiencies and enhance care quality nationwide. The combined scale positions IHH to capture growth opportunities in high-acuity segments and strengthen its leadership in India’s private healthcare sector.

Read More: Fortis Healthcare Shares Soar Over 6% as IHH Gets SEBI Open Offer Approval.

Conclusion

The completion of mandatory tender offers on December 15, 2025, marks a significant milestone for IHH Healthcare’s India operations. With increased stakes in Fortis Healthcare and Fortis Malar, the group is positioned to accelerate integration and unlock operational synergies.

The move eliminates long-standing legal hurdles and provides clarity on IHH’s strategic direction in India. This step aligns with the company’s plan to expand capacity and strengthen its presence in high-acuity healthcare segments nationwide.

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