KOCHI: PTL Enterprises Limited of the Apollo Tyres Group has put on hold the proposal to sell its Gurgaon-based hospitals Artemis Medicare Services and Artemis Health Sciences for `181 crore, following objection from the Kerala Government and a temporary injunction from the Kerala High court.
The proposal was not taken up at the annual general meeting (AGM) of the company held in Kochi on Monday. The Kerala Government (5.10 per cent) and the Kerala State Industrial Development Corporation (2.27 per cent) are the shareholders of PTL Enterprises.
The State Government’s move came after minority shareholders raised a storm over the company’s decision to sell the hospitals at such a low price. In a report, the Institutional Investor Advisory Services said that the market value of the hospitals was between `700 crore and `1,000 crore, as indicted by the hospital deals that took place recently in the area.
The board of directors of PTL Enterprises had approved the divestment on July 25, 2014. “In compliance with the order issued by the Kerala High Court on September 19, the company did not take up the proposal for the sale of its shareholdings in Artemis Health Sciences and Artemis Medicare Services at the AGM held on Monday.“The order passed ex parte temporarily restrains the company from considering or passing any resolution regarding the sale of shareholding, in response to a petition filed by two of its shareholders. The matter is now subjudice,” said PTL Enterprises chairman Onkar Kanwar.“The Company remains fully committed to be compliant with all the applicable laws in its affairs and dealings,” he added.
PTL Enterprises (earlier known as Premier Tyres), the manufacturer of automotive tyres and tubes, is a subsidiary of the Kanwar family of Apollo Tyres.