The troubles are adding up for IHH Healthcare, wiping almost US$800 million (S$1.1 billion) from its market value over three days.
A whipsawing Turkish lira, a major shareholder cutting its stake and continued uncertainty over a plan to buy Fortis Healthcare have led IHH to fall 6.6 per cent over three days while the benchmark index was largely flat.
The stock fell as much as 6.1 per cent on Tuesday, the most since Aug 13, pushing its 14-day relative strength index into oversold territory for the first time since November last year.
The lira's roller-coaster ride, which began last Friday, may weigh on IHH's Turkish unit Acibadem Saglik Yatirimlari Holding and worsen non-lira liabilities, Nomura Securities analyst Raghavendra Divekar wrote in a March 28 note. He has a buy rating on IHH.
The firm is looking to repay US$250 million of non-lira debt to manage foreign exchange exposure at Acibadem, it said last month.
IHH may also be under pressure after the Employees' Provident Fund sold 1.8 million of the company's shares last week.
Malaysia's biggest pension fund has lowered its stake in IHH to 7.46 per cent from 8.44 per cent at the end of last year, according to stock exchange filings.
Meanwhile, IHH's planned acquisition of Fortis remains in limbo after India's top court put it on hold.
Daiichi Sankyo had filed a suit against Fortis to recover US$500 million from the founders and former owners of the embattled hospital chain.
Any adjustments made due to ongoing probes against Fortis may affect the company's provisional goodwill value, according to a Monday report by IHH's auditor KPMG.
Listed in Singapore and Malaysia, IHH was established in 2010 following the acquisition of Singapore's Parkway Group and Malaysia's Pantai Group. It is among the world's largest listed healthcare groups.
"IHH does not see meaningful risk from the auditors' latest qualified opinion on Fortis," Credit Suisse analysts Ari Jahja and Samuel Pratama wrote in a note on Tuesday, after talking to IHH's investor relations department.
IHH "expects healthcare demand in Turkey will likely remain resilient", the note said.