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Life Healthcare to buy stake in Indian firm

Oct 12 2011 08:39 Reuters

Company Data

Netcare Limited [JSE : NTC]

Last traded R15.40
Change R-0.05
% Change -0.32%
Cumulative volume 4.55m
Market cap R22.35bn

Last Updated: 25/05/2012 at 19:32. Prices are delayed by 15 minutes. Source: McGregor BFA

 

Mediclinic International [JSE : MDC]

Last traded R36.90
Change R-0.07
% Change -0.19%
Cumulative volume 536,195
Market cap R24.07bn

Last Updated: 25/05/2012 at 19:32. Prices are delayed by 15 minutes. Source: McGregor BFA

 

Life Healthcare Grp Hldg [JSE : LHC]

Last traded R28.60
Change R0.45
% Change 1.60%
Cumulative volume 2.84m
Market cap R29.81bn

Last Updated: 25/05/2012 at 19:32. Prices are delayed by 15 minutes. Source: McGregor BFA

 

All Share [JSE : J203]

Last traded R32,992.25
Change R-53.88
% Change -0.16%
Cumulative volume 193.41m
Market cap R0.00

Last Updated: 25/05/2012 at 19:33. Prices are delayed by 15 minutes. Source: McGregor BFA

 

Firstrand Ltd [JSE : FSR]

Last traded R25.00
Change R-0.06
% Change -0.24%
Cumulative volume 12.14m
Market cap R140.95bn

Last Updated: 25/05/2012 at 19:32. Prices are delayed by 15 minutes. Source: McGregor BFA

 

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Johannesburg - Life Healthcare Group Holdings [JSE:LHC] said it would pay about $108m for a quarter stake in Indian private hospital firm Max Healthcare, giving it a sizeable exposure to the fast-growing market.

Life Healthcare, South Africa's second-largest private hospital group by market value, has said it wants to expand beyond its core market of South Africa, where it competes with rivals Medi Clinic Corporation [JSE:MDC] and Netcare [JSE:NTC].

The company said in a statement it plans to buy 26% of Max Healthcare, a unit of Indian conglomerate Max India, for about R850m in cash.

Max Healthcare is one India's largest private healthcare providers, Life Healthcare said.

The deal will require exchange control approval from the South African Reserve Bank and may also require regulatory approval, the South African company said.

Life Healthcare operates 56 hospitals and maintains more than 7 000 beds in South Africa.

The company said it was being advised on the deal by Rand Merchant Bank, a unit of FirstRand [JSE:FSR].

Shares of Life Healthcare are up about a third so far this year, outperforming its two main rivals, and the broad All Share [JSE:J203] index , which is down nearly 4%.

 

 
 
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