IHH Healthcare's damages against Daiichi could reach $1.25 bln, expert report says (updated)

Fortis Healthcare

07/02/2025 05:49

(Updates Feb 6 story to write through, update shares in
paragraph 4)
       Feb 6 (Reuters) - Malaysia's IHH Healthcare  IHHH.KL 
may be entitled to damages of up to $1.25 billion from Japan's
Daiichi Sankyo  4568.T  for blocking its bid for control of
Indian hospital operator Fortis  FOHE.NS , according to a report
authorised by its unit.
    Northern TK Venture (NTK), a subsidiary of IHH Healthcare,
has submitted an expert report by Osborne Partners to a Tokyo
court, which states the amount of compensation it is entitled to
ranges from 4.24 billion rupees to 109.3 billion rupees,
according to a statement on Thursday by its parent.
    The report includes an analysis and quantification of the
damages that NTK suffered based on three scenarios, IHH said.
    IHH shares were trading 0.1% higher on Friday trade while
the Japanese pharmaceutical firm's stock fell 0.5%. Fortis was
trading more or less unchanged in early India trade. 
    The report comes more than a year after NTK had filed a
claim alleging Daiichi caused losses to the firm by preventing
it from going ahead with open offers to increase its stake in
Fortis in 2018.
    IHH, Asia's largest healthcare operator, had bought a 31%
interest in the Indian firm through NTK, but later halted its
open offer to buy an additional 26% after the Japanese company
filed a contempt plea against Fortis' founders.
    Fortis, in a filing with India's National Stock Exchange,
did not comment on the issue but said it would update
shareholders in case of any material developments. Daiichi did
not respond to a Reuters request. 
    The next hearing at the Tokyo court is now scheduled for
February 13, according to a separate statement from IHH.
 ($1 = 87.5600 Indian rupees)




 (Reporting by Shivangi Lahiri and Rishav Chatterjee in
Bengaluru; Editing by Mrigank Dhaniwala, Leroy Leo and Lincoln
Feast.)
 ((Shivangi.Lahiri@thomsonreuters.com;))