Synopsis:
A leading Indian healthcare provider saw its shares gain modestly after a major stake acquisition was announced. Strong Q1FY26 results highlighted 17% revenue and 53% profit growth, improved margins, higher occupancy, and operational efficiency across hospitals and diagnostics.
The shares of the prominent healthcare services gained up to 1 percent in today’s trading session after IHH Healthcare Berhad announced an open offer for the acquisition of up to a 26.10% stake in the company.
With a market capitalization of Rs 82,422.56 crore, the shares of Fortis Healthcare Ltd were trading at Rs 1,091.75 per share, increasing around 0.04 percent as compared to the previous closing price of Rs 1,095.00 apiece.
Acquisition
The shares of Fortis Healthcare Ltd in focus as IHH Healthcare Berhad announced open offers to acquire up to 197,025,660 equity shares (26.10%) of Fortis and 4,894,308 equity shares (26.11%) of Fortis Malar Hospitals’ voting share capital.
Moreover, Fortis Open Offer and Malar Open Offer will commence from 20 October 2025 and will remain open until 4 November 2025. These moves mark a significant consolidation effort, enabling IHH to expand its footprint in India’s hospital network and enhance operational integration across its healthcare investments.
Additionally, IHH Healthcare Berhad is acquiring 235.3 million new Fortis Healthcare shares through a preferential allotment via its wholly-owned subsidiary, Northern TK Venture Pte Ltd. This strengthens IHH’s stake and control in Fortis, aligning with its expansion strategy in India’s healthcare sector.
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Looking forward to the company’s financial performance, revenue increased by 17 percent from Rs 1,859 crore in Q1FY25 to Rs 2,167 crore in Q1FY26. Further, during the same time frame, net profit increased by 53 percent from Rs 174 crore to Rs 267 crore.
Additionally, Fortis Healthcare posted strong Q1FY26 results, with hospital revenues rising 18.6% YoY to Rs 1,838 Cr. EBITDA surged 41.4% to Rs 406 Cr, and margins improved to 22.1%. ARPOB rose 10.2% to Rs 2.65 Cr. Occupancy reached 69%. The diagnostics segment to Rs 368.8 Cr, with EBITDA margin improving to 23% from 16.1% YoY, reflecting operational efficiency.
Fortis Healthcare operates 33 facilities across India with over 5,700 operational beds and a workforce of 24,000+, including 6,800+ doctors and 8,000+ nurses. The National Capital Region holds the highest bed count at 1,978, followed by Punjab and Maharastra. Accredited by JCI and NABH, Fortis stands among the most accredited healthcare networks in India, emphasising quality care nationwide.
Fortis Healthcare Limited is a leading integrated healthcare provider in India, offering a full spectrum of services from clinics to quaternary care facilities. Its mission is to be a globally respected organization, recognized for its clinical excellence and distinctive patient care, driven by values like patient centricity.
Written by Abhishek Singh
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