Fortis Healthcare has said that the company board has given approval to change the name of the firm and its subsidiaries to 'Parkway' - a brand that Malaysian health care major IHH owns. SRL, the diagnostic arm of the hospital chain, will also look for a new brand name and logo. The company said that the move is to disassociate itself from the erstwhile promoters - Malvinder and Shivinder Singh.
The board has taken decision "in light of various considerations including the expiry of the current brand license agreements in April/May 2021, and to reinforce the complete disassociation of the Company from its erstwhile promoters, unanimously given an in-principle approval to discontinue the use of 'Fortis', 'La Femme' and 'SRL' as part of the name, brand and logo of the Company and its subsidiaries. Basis the in-principle approval."
'Parkway' is a renowned brand in the field of healthcare, belonging to the IHH Group, the parent of Northern TK Venture Pte Ltd. Northern TK Venture is the promoter of the company with 31 per cent shareholding, Fortis Healthcare told stock exchanges last Friday.
"As part of its commercial strategy, the company intends to, going forward, obtain a licence to use the brand 'Parkway' as the corporate name, brand and logo of the company and all its subsidiaries in relation to the hospital business," it added.
"This is the culmination of the extensive overhaul and strengthening of the governance processes initiated by the reconstituted Board in 2018, and is a reinforcement of our efforts to completely disassociate ourselves from the erstwhile promoters of the company," Fortis Healthcare Chairman Ravi Rajagopal said.
Shares of Fortis Healthcare were trading at Rs 134.25, down 1.55 points, or 1.14 per cent on NSE at the time of reporting.