Fortis Healthcare would raise funds with rights issue by the end of June 2009. The company board has approved the plan to raise Rs 1,000 crore. The funds would be used for debt adjustments and further expansion of the business. Significant parts of the fund would be used for the proposed Medi-City project in Gurgaon. Fortis would also upgrade its existing facilities and explore more investment opportunities in the market. The company currently has 23 hospitals and wants to add more by 2012.

The Chief Financial Officer of Fortis Healthcare, Yogesh Sareen said, "It generally takes 150-180 days for things to finalise. By February, we expect the details of rights issue to be finalised and if all goes well, the issue should be closed by June."

The board of directors of Malvinder and Shivinder Singh-promoted Fortis Healthcare has already approved the decision to raise funds with rights offer. However, price issue and equity constraints would be decided later.

Fortis Healthcare CEO and Managing Director Shivinder Mohan Singh said that the company has drawn plans for the next few years. The proposed rights issue would help to reduce the debt burden and set a healthy trend for future. He added, "We have about Rs 450 crore debts on our books today, which we will reduce."