India banks ready to fund Fortis Parkway bid

Singapore's securities regulator has given Fortis until July 30 to say whether it intends to make a full offer for hospital operator Parkway, the subject of a partial takeover bid by Malaysian sovereign fund Khazanah.

Fortis, which already holds roughly 25% of Parkway, will have to offer over USD 2.3 billion to buy the rest of it.

Lenders such as State Bank of India, Axis Bank, Punjab National Bank and Yes Bank have given their "in-principle" commitment for the loan, the Economic Times said, citing a person close to the matter.

Citing an unnamed Yes Bank executive, the newspaper said, the private lender had committed Rs 500 crore (USD108 million) to Fortis if the Indian firm decides to place a counter bid for Parkway Holdings.

Officials at Fortis and the banks could not immediately be reached by Reuters for comment.

Fortis had wanted to build a controlling stake in the Singapore company before Khazanah made a surprise USD 835 million offer last month to lift its stake from 23.5% to 51.5%.