Fortis Global to acquire majority stake in Dental Corporation

Under the deal,Fortis Global,which is owned by Indian billionaire brothers Malvinder Mohan Singh and Shivinder Mohan Singh,will make a proportional offer to acquire up to 30 per cent of each DCH’s existing shareholding,the company said in a statement.

Depending on the level of acceptances under the proportional offer,which values DCH at around USD 400 million,Fortis Global’s shareholding will increase to more than 50.1 per cent (minimum acceptance threshold condition) and up to 58.6 per cent.

Commenting on the deal,Fortis Global Executive Chairman and a director of Dental Corporation Malvinder Singh said: “The Dental Corp model adds a new vertical to the clinical competencies within Fortis Global.” He further added: “We will continue to support the Dental Corporation management team to deliver the company’s growth forecasts in Australia,New Zealand and potentially take this unique model to new geographies in Asia.” As part of the deal,Fortis has agreed to offer to acquire 30 per cent of the employee options held by each Dental Corporation option holder,the statement added.

In addition,Fortis Global will also acquire convertible notes and shares held by investment firm Caledonia representing 16 per cent of the DCH’s shares on a fully-diluted basis.

The proportional offer is subject to regulatory and shareholders approvals.

“We welcome the Proportional Offer from Fortis Global and are happy to become a part of the rapidly expanding footprint of Fortis,” Dental Corporation Executive Chairman Mark Evans said.

Dental Corporation,one of Australia’s fastest-growing companies,was founded in October 2007 to acquire and partner with high-quality general and specialist dental practices.