Fortis Healthcare shares soar 24.5% on merger buzz

Shares of Fortis Healthcare jumped 24.5 per cent today amid reports that Manipal hospital, backed by TPG, is in advanced talks to merge the company with itself.

The stock erased its early losses and soared 24.54 per cent to Rs 157.05 on the BSE during the afternoon trade.

At NSE, shares of the company zoomed 24.31 per cent to Rs 156.70.

BSE has sought clarification from Fortis Healthcare with reference to reports that Manipal hospital is in advanced talks to merge Fortis Health with itself.

Fortis Healthcare promoters Malvinder Mohan Singh and Shivinder Mohan Singh have resigned as directors from the company's board following the Delhi High Court order upholding the Rs 3,500 crore arbitral award in favour of Daiichi Sankyo.

The Singh brothers have jointly tendered their resignation to the Board of Fortis Healthcare, which will discuss it in the meeting on February 13, the company said in a filing to the BSE yesterday.

According to media reports, Deloitte has refused to certify Fortis Q2 results as Singh brothers have said to have taken out USD 78 million from the firm. BSE has sought clarification from Fortis Healthcare in this regard.