• Investment World
• eWorld
• Catalyst
• Mentor
• Life
• Canvas
• Praxis
• Urban Pulse
• Brand Quest

Our Bureau

New Delhi , Aug. 5

EVEN as the current rift in the Nanda family over the divestment of equity stake in Escort Heart Institute and Research Centre (EHIRC) remains unresolved, Merlion India Fund, the proposed buyer of the stake, on Tuesday said that it is still conducting the `due diligence' for the same.

"The EHIRC deal is in due diligence stage", Mr Karam Butalia, Global Head, Standard Chartered Private Equity Fund, told Business Line from Singapore. Mr Butalia was unwilling to give further details on the proposed transaction, citing the confidentiality clause.

Standard Chartered along with Singapore-based Temasek Holdings own Merlion India Fund. Temasek is associated with the Government of Singapore and has a presence in the field of life sciences.

Merlion India Fund is the proposed buyer of the 25 per cent stake in EHIRC. Of the 25 per cent, 17.1 per cent is to be sold by Escorts Ltd, and the balance is believed to come from the promoter Mr Rajan Nanda and Dr Naresh Trehan. Both hold a 10 per cent stake each in EHIRC.

The proposed divestment, according to Mr Rajan Nanda, Chairman and Managing Director, Escorts Ltd, would help support EHIRC's expansion plans in the healthcare arena and would allow EHIRC to benefit from Temasek's expertise in international research practices.

The younger brother and Vice-Chairman and Managing Director of Escorts Ltd, Mr Anil Nanda, had opposed the proposed divestment on the grounds that it is "illegal". He has urged that the corporatisation process of EHIRC be reversed and its original status as a charitable society be restored.

Article E-Mail :: Comment :: Syndication

Stories in this Section
Sami Labs sees big money in herbal products

Copyright © 2003, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line