Northern TK Venture (NTK), a Singapore-based indirect arm of Malaysia’s IHH Healthcare, has raised its damages claims against Japanese pharma firm Daiichi Sankyo Company by tenfold to 200 billion Japanese yen, or Rs 11,800 crore. The claims pertain to a long-standing dispute between NTK and Daiichi Sankyo, where the former alleged that Daiichi had obstructed NTK’s efforts to complete its open offer to acquire shares in India’s Fortis Healthcare and its step-down subsidiary, Fortis Malar Hospitals.
NTK has increased its legal claim on the basis of the findings of independent expert Osborne Partners (OP).
According to NTK’s stock exchange filings in Malaysia and Singapore, OP examined “three counterfactual scenarios” that would have materialised, had Daiichi Sankyo not interfered with the open offer. OP’s report estimates NTK’s losses could range from Rs 424 crore to Rs 10,930 crore, excluding interest.
“NTK has now calculated the damages…adding compensation for the losses suffered by NTK as a result of defamation and reputational harm, for a revised total of approximately JPY 200 billion,” the NTK statement said.
NTK also said it reserves the right to further amend the amount of damages claimed against Daiichi Sankyo in the future, on the grounds that “the alleged tortious conduct by Daiichi Sankyo is ongoing and continues to cause damage to NTK.”
The next hearing of the case before the Tokyo district court is scheduled in July 2025.
In 2018, IHH was declared the successful bidder in a bid process run by Fortis Healthcare (FHL) to invite investment. When its subsidiary NTK received preferential allotment of shares by FHL, it triggered a requirement to make an open offer to Fortis’ public shareholders. In its lawsuit, NTK said when it attempted to execute the open offer required by Indian law, Daiichi unfairly obstructed its execution and prevented the completion of the acquisition that resulted in significant losses to NTK.
Daiichi has been in dispute with brothers Malvinder and Shivinder Singh, former promoters of Ranbaxy. The Japanese firm wanted to recover the damages caused by its acquisition of Ranbaxy Laboratories.