Joint Venture23 Jul 2025, 10:40 am
Fortis Healthcare Ltd Enters Operation and Maintenance Services Agreement with Gleneagles Healthcare India Pvt. Ltd
AI Summary
Fortis Healthcare Ltd has entered into an operation and maintenance services agreement with Gleneagles Healthcare India Pvt. Ltd (GHIPL) for the provision of services at 5 hospitals and 1 clinic of GHIPL in India. GHIPL is a subsidiary of the parent entity of Fortis' promoter, IHH Healthcare Berhad, making it a related party. The agreement is at an arm's length basis. The Company is entitled to receive a monthly service fee of 3% of the net revenue of the Hospitals, on a consolidated basis.
Key Highlights
- Fortis Healthcare Ltd has entered into an operation and maintenance services agreement with Gleneagles Healthcare India Pvt. Ltd
- The agreement is with a related party, GHIPL, which is a subsidiary of the parent entity of Fortis' promoter, IHH Healthcare Berhad
- The agreement is at an arm's length basis
- Fortis is entitled to receive a monthly service fee of 3% of the net revenue of the Hospitals
- This arrangement is expected to increase Fortis' profits with a direct revenue-flow