Fortis Promoter NTK Loses Daiichi Sankyo Case in Japan

Northern TK Venture Pte Ltd, the promoter shareholder of Fortis Healthcare and an indirect wholly owned subsidiary of Malaysia’s IHH Healthcare, has lost its long-running legal battle against Japanese pharmaceutical company Daiichi Sankyo in Japan.

The Tokyo District Court dismissed all claims brought by NTK on Sept. 10, 2026, according to IHH. The court also ordered NTK to bear the costs of the litigation.

The case was linked to IHH’s 2018 investment in Fortis and its subsequent attempt to acquire an additional stake in the Indian hospital operator through a mandatory open offer.

NTK Disputes the Court’s Decision

IHH said NTK disagrees with the judgment and remains confident in the merits of its position.

The company said NTK is reviewing the judgment with its legal counsel and evaluating the legal remedies available to it. IHH added that it would make further announcements if there are material developments.

The latest ruling therefore closes the case at the Tokyo District Court, but NTK’s statement indicates that it is considering further legal action.

How the Fortis Dispute Began

The dispute dates back to IHH’s acquisition of a stake in Fortis in 2018.

IHH acquired a 31% interest in Fortis through NTK. It subsequently sought to proceed with a mandatory open offer for an additional 26% of the hospital chain.

The transaction became entangled in litigation involving Daiichi Sankyo, which had its own long-running dispute with the former promoters of Fortis following Daiichi’s sale of Ranbaxy Laboratories.

Daiichi Sankyo filed contempt proceedings against Fortis’ founders, and the Indian Supreme Court subsequently halted the proposed open offer.

NTK later argued that Daiichi Sankyo’s actions had caused it financial losses by preventing it from proceeding with the Fortis open offer and a related offer involving Fortis Malar Hospitals.

Fortis itself disclosed in a regulatory filing that NTK had filed its claim against Daiichi Sankyo before the Tokyo District Court in October 2023. At the time, NTK was seeking damages of more than ¥20 billion, along with other relief including injunctions and statements concerning the disputed open offers.

Damages Claim Was Raised to More Than ₹10,000 Crore

The amount sought by NTK increased substantially during the proceedings.

In May 2025, NTK petitioned the Tokyo court to revise its damages claim to as much as ₹109.3 billion, or roughly ₹10,930 crore. Reuters reported at the time that the revised claim was based on NTK’s allegations that Daiichi Sankyo had obstructed its attempt to acquire additional Fortis shares.

The claim was significantly larger than NTK’s original ¥20 billion demand.

NTK also sought compensation connected with its defamation-related claims and interest on the damages it was seeking.

The larger claim was based on an expert assessment that considered different scenarios for calculating the losses allegedly suffered by NTK.

Those damages, however, were never awarded. The Tokyo District Court has now dismissed NTK’s claims in full.

Daiichi Sankyo Welcomes the Ruling

Daiichi Sankyo welcomed the Tokyo court’s decision.

Reuters reported that the Japanese drugmaker said the ruling validated the legitimacy of its position in the dispute.

Fortis Healthcare had not immediately commented on the judgment when Reuters reported the decision.

For Daiichi Sankyo, the ruling removes the immediate risk of having to pay the substantial damages sought by NTK in the Tokyo proceedings.

What the Judgment Means for Fortis and IHH

The dispute was separate from Fortis Healthcare’s day-to-day hospital operations, but it was closely connected to the ownership transaction that brought IHH into Fortis.

IHH has continued to hold its investment in Fortis through NTK. The Japanese litigation was focused on whether Daiichi Sankyo’s actions interfered unlawfully with NTK’s efforts to complete the proposed open offers.

The Tokyo court’s decision rejects NTK’s claims in that proceeding.

The financial impact of the judgment on IHH cannot be determined solely from the latest announcement. IHH has not disclosed in the latest reporting a specific earnings impact from the dismissal or quantified the litigation costs NTK will ultimately bear.

The Legal Battle May Not Be Over

NTK has not accepted the judgment as the end of the matter.

Its statement that it is reviewing the ruling and assessing available legal remedies leaves open the possibility of further proceedings. IHH said it would provide additional disclosures if there are material developments.

For now, however, the confirmed outcome is clear: the Tokyo District Court has dismissed NTK’s claims against Daiichi Sankyo and ordered NTK to bear the litigation costs.

The ruling marks the latest development in a dispute that began with the complicated 2018 Fortis transaction and subsequently stretched across Indian and Japanese legal proceedings.