Fortis Chief Malvindra Singh flies in private jet for Lanka Hospitals Board meeting

World renowned Fortis Global Healthcare Holdings Pte, Ltd., Executive Chairman Malvinder Mohan yesterday flew in his private jet to attend the Board meeting of Lanka Hospitals Corporation Plc, in which the Singapore-based Indian healthcare giant has a 29% stake.

The meeting was chaired by Lanka Hospitals Chairman Gotabaya Rajapaksa who is also the Secretary to the Ministry of Defence.

During the Board meeting discussions centred on how Fortis can add value to Lanka Hospitals’ future expansion through technology transfer and further medical training for Sri Lankan team.

At the Board meeting the advantages that Lanka Hospital will have over other private sector hospitals through Fortis partnership also came under spotlight. Among benefits include access to best medical technology and training and ability to purchase advanced medical equipment at competitive prices through group discounts as well as use of laboratory services of ‘Super Religare’ the largest laboratory service provider in Asia.

Having access to know-how to obtain international accreditations without heavy cost on consultancy support and access to funding to support future expansion were others. Fortis’ strategic involvement with Lanka Hospital also opens up free fellowship opportunities for Lankan doctors.

Sources said Fortis sees the investment in Lanka Hospitals as an opportunity to further develop its strong network of international partnerships.

Fortis Global Healthcare Holdings Pte. Ltd, a company owned by Malvinder Mohan Singh and Shivinder Mohan Singh in March acquired 28.6% stake in Lanka Hospitals for Rs. 4 billion.

It marked the entry of Fortis Global in one of Asia’s fastest growing economies. Fortis said the acquisition was in line with its vision of creating a Pan Asia healthcare platform and provides an access to one of the fastest growing economies in Asia. Fortis’ acquisition, the fourth in five months, marks an important step in achieving the Singh family’s vision of creating a premier global healthcare group outside India. In the last four months, Fortis has acquired the largest private primary care company in Hong Kong, invested in the largest dental care company in Australia and announced the acquisition of a cancer speciality hospital project in Singapore.

Following the acquisition Malvinder M Singh said: “Lanka Hospitals is the first step for Fortis Global to build its healthcare business interest in one of the fastest growing economies in Asia. It is one of the most advanced and comprehensive healthcare facility in Sri Lanka. We believe there are tremendous opportunities for the hospital’s expansion and we will support the company’s management in realising such growth.”

Following the acquisition Malvinder Mohan Singh was appointed as a Director of Lanka Hospitals with Vishali Bali as alternate director;  along with Shivender Mohan Singh with Balinder Singh Dhillon as alternate director and Sunil Godhwani with Dr. Amit Varma as alternate director.

Meanwhile Lanka Hospitals Corporation (LHCL) yesterday announced a net profit of Rs.131 million for the first half of 2011 financial year up by 26% over the corresponding period of last year. Second quarter net profit was down by 3% to Rs.66 million. Revenue rose to Rs. 1.8 billion from Rs. 1.4 billion in the first half of 2010.

Lanka Hospitals is a renowned tertiary care healthcare delivery provider and currently one of the largest hospital groups in Sri Lanka. The hospital speacialises in cardiology and cardiac surgery, neuro-sciences, orthopedics and complex urology/nephrology procedures. The 350 bed hospital is majority owned by Sri Lanka Insurance Corporation Ltd with a stake of 55%.