Apollo Hospitals ended its four-year's direct presence in Sri Lanka last week by announcing an exit from the joint venture. Apollo sold its entire stake in Lanka Hospitals Corporation following an open offer made by Sri Lanka Insurance Corporation (SLIC). While Apollo projected this as a move in tune with its long-term business plans, International media termed the exit as a compulsion after Apollo failed to stave off a hostile take over bid. It is known that Apollo had tried to thwart the take over move with the help of the governments of Sri Lanka and India.
"The decision was taken after considerable deliberation, keeping in mind our clear objectives of increasing our own shareholder value and long term business goals," Suneeta Reddy, Executive Director, Finance, Apollo Hospitals Enterprise Limited stated.
"As is with every institution that we have built and developed over the last two decades, Apollo Hospitals, Colombo is a fine example of patient centricity. We infused intellectual and emotional capital that is core values associated with all Apollo Hospitals. Apollo Hospitals Group is committed to providing world-class care to its patients across its network of hospitals. The decision we have just taken comes in the wake of the recent increase in the shareholding of Sri Lanka Insurance Corporation Ltd (SLIC) from 19.86 per cent to 36.07 per cent. With only a minority share holding, it would have been difficult for Apollo Hospitals to operate effectively. And fortunately, Apollo has found that the offer made by SLIC is adequate and good enough to accept." She explained.
Apollo Hospitals Enterprise Limited is the largest private healthcare provider in Asia. It has evolved into a healthcare powerhouse with interests across the entire healthcare space. Besides owning and managing hospitals, the group has leadership positions in hospital project consulting, healthcare IT and education, manpower sourcing and placement, medical business process outsourcing, retail pharmacies and health and lifestyle clinics.