Fortis bid: Munjal & Burmans up offer by Rs 300 crore

New Delhi: Sunil Kant Munjal of Hero Enterprises and the Burman family of the Dabur group have revised their bid for Fortis Healthcare on the last day to submit bids that a two-member expert advisory committee will be studying to recommend a deal for the company. The joint bidders follow Malaysian healthcare group IHH in sweetening their offers for Fortis as competition for the hospital and diagnostics group continues to intensify.Munjal and the Burmans, who are jointly bidding for Fortis, have now revised their offer to invest Rs1,800 crore directly into Fortis, up from Rs 1,500 crore earlier.In a letter sent to Fortis on Tuesday, the joint bidders have offered to infuse Rs 800 crore through preferential issue of equity shares at Rs 167 per share or as per SEBI ICDR guidelines, whichever is higher. They have also proposed an additional Rs 1,000 crore through preferential issue of warrants at Rs 176 per share or SEBI ICDR guidelines, whichever is higher.Including the warrant subscription amount, their upfront investment would be Rs 1,050 crore, the joint bidders told Fortis. Their offer is valid until May 15.The joint bidders have been competing with IHH Healthcare Bhd, Radiant Life Care and KKR as well as a consortium of Manipal Health Enterprises and TPG.IHH also submitted a proposal on Tuesday for an "immediate equity infusion" at a share price of Rs 175 per share and a subsequent equity infusion at a per share price not exceeding this, Fortis told the Bombay Stock Exchange on Tuesday.The Fortis board is expected to review an expert advisory committee's recommendations for a deal on May 10. Now that revised bids for the company have come in, Manipal-TPG, which already entered into a binding agreement with Fortis for a proposed de-merger, has until May 6 to submit its revised offer.

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