Fortis Healthcare Co-Founder Breaks Business Ties With Brother, Shares Slip
Shares of Fortis Healthcare slipped as much as 2.4 per cent on Wednesday. The decline in Fortis Healthcare shares came after co-founder Shivinder Singh moved the National Company Law Tribunal (NCLT) against his elder brother Malvinder Singh. Shivinder, who has decided to break business ties with his sibling, said the case, which also accuses former chief of financial services firm Religare Enterprises Sunil Godhwani, was filed in the NCLT, reported news agency Reuters. Shivinder Singh said on Tuesday he had filed a lawsuit against older brother Malvinder Singh, alleging "oppression and mismanagement" at their joint businesses.
The case comes in the wake of financial troubles at the group businesses RHC Holding, Religare Enterprises and hospital chain Fortis Healthcare.
"The collective, ongoing, actions of Malvinder and Sunil Godhwani led to a systematic undermining of the interests of the companies and their shareholders," Shivinder Singh said in a statement.
Fortis, which operates about 30 private hospitals in India, accepted an investment offer from Malaysia's IHH Healthcare Bhd in July, ending months of speculation over control of the company. The brothers also sold their controlling stake in drugmaker Ranbaxy Laboratories, founded by their family, to Japan's Daiichi Sankyo Co in 2008.
Meanwhile, benchmark equity indices were trading with mild losses amid lacklustre trade. At 10:57 am, Fortis Healthcare was trading at Rs 145.35 on the BSE, down 1.50 per cent from the previous close. At that time, the S&P BSE Sensex declined 43.62 points or 0.11 per cent to 38,114.30. The broader Nifty50 slipped 15.20 points or 0.13 per cent to trade at 11,505.10.
Fortis Healthcare chief financial officer Gagandeep Singh Bedi had resigned last month citing personal reasons. His exit will take effect on September 30.
Fortis Healthcare had reported a consolidated net loss of Rs 70.74 crore for the quarter ended June 30, as against a net profit of Rs 5.5 crore in the corresponding period a year ago. (With agency inputs)
-
Signature Play: The Classic Cocktail Is Dead. Or Is It?
Classic cocktails are disappearing from India's cocktail menus. But they're still being ordered, taught to bartenders and borrowed from. So, who's really having the last drink?
-
A New Samvat Wishlist: Inclusive Prosperity And Human Development
India has strengthened its economic foundations through infrastructure, digital access and enterprise. Its next growth chapter must deepen productivity, create better livelihoods and widen participation in prosperity.
-
Love, Sex Aur Dhokha: The Audacious Plot To Spy On Jensen Huang
A Taipei dinner, a Singapore chip buyer and a suspected Chinese asset: inside the alleged spy operation that got close to NVIDIA's Jensen Huang.
-
Ten Things I Learnt This Samvat
Patience can be a trap. Cheap stocks can stay cheap. Leverage can wipe you out. What did Samvat 2082 teach us? Niraj Shah writes on 10 lessons from the year gone by.
-
Talking Points This Week: Tech Nerves, FII Buying, And A Faraway Banking Shock
The global markets are not shining this Diwali. The exception in the large markets is, India.
-
Midterm Rally Lasted A Day. The Hard Reality Of A Divided US May Last Two Years | Opinion
Between a contested AI boom, a debt ceiling that arrives in 2027 and a president with every incentive to act alone, the next two years may prove more volatile than the first day's rally suggests.
-
Blue Wave Will Derail the AI Trade but Won't Dismantle the AI Era | Unhedged Position
The Democrats' sweep of the US Congress will see politics collide with economic forces both over the long and short term.
-
It's Time To Take The GST Council's Bet On Trust Global
Payment records can prove India's services exports, and clear, proportionate rules can bring foreign digital sellers into the tax net.
-
Opinion | India at 38: From Innovation Overperformer to Innovation Powerhouse
India now has 453 VC-backed deep science startups, 18 of them late-stage, after 117 percent growth since 2020. Laurus Labs, at USD 9.3 billion, is the most valuable deep science company in any middle-income economy outside China.
