Fortis Healthcare Ltd. said its board accepted the investment offer made by the consortium of Hero Enterprise Investment Office and Burman Family Office.
The company's decision came after negotiations with several parties that were vying for the hospital chain.
Fortis said the Hero-Burman consortium will make an up-front equity investment of 8 billion Indian rupees at 167 rupees per share.
The consortium will further invest 10 billion rupees at 176 rupees per share through preferential issue of warrants, out of which 2.50 billion rupees will be given up front being an amount equivalent to 25% of the consideration of warrants.
In addition, the board approved the appointment of Sabina Vaisoha and Rohit Bhasin as independent directors for five years, effective March 27 and April 19, respectively.
Fortis said the deal and the appointments are subject to shareholder and regulatory approvals.
The offer acceptance brings to an end a heated bidding war for the Indian hospital chain that included Malaysia's IHH Healthcare Bhd., India's Healthcare facility operator Radiant Life Care Private Ltd., and a consortium of Manipal Health Enterprises Private Ltd and TPG Capital Advisors LLC.
As of May 10, US$1 was equivalent to 67.16 Indian rupees.