Under the separation plan, a consortium of investors led by Abu Dhabi-based Fajr Capital, a sovereign-backed private equity firm, has acquired a 65% stake in Aster GCC, with the promoter Dr. Azad Moopen family retaining a 35% stake alongside management and operational rights.
In the Indian operations, the Moopen family continues to hold the 41.88% stake.
The transaction has now concluded and pursuant to which Affinity Holdings Limited (a wholly subsidiary of the Company) has received a cash consideration of $907.6 million.
Aster DM said it intends to consider distributing 70-80 percent of the transaction proceeds as dividends to its shareholders in the range of ₹110 to ₹120 per share and anticipates distributing the dividend, post obtaining required approvals.
In November 2023, the company obtained board approvals to separate its GCC and India businesses. The company said separation will benefit from the strategic and financial flexibility to meet the priorities of patients and focus on the growing demand in their respective markets.
The separation plan was also approved by the company’s shareholders in January 2024.
Aster said it plans to add 1700 beds by FY27 through the organic route and will further look for expansion through the inorganic route as well to be among the top 3 hospital chains in India.
The expansion plan will encompass a mix of brownfield and greenfield projects, including the upcoming Aster Capital in Trivandrum, and Aster MIMS Kasargod and adding bed capacity to the existing hospitals.
The company said it will also be looking at potential markets such as Maharashtra and Uttar Pradesh. The capital allocation for this expansion is in the range of 1000 crore.
Moopen will remain the founder chairman and while Alisha Moopen will remain a director on the board of the Company, she will also serve as the managing director and Group CEO of Aster GCC.
The Indian entity will be led by Dr. Nitish Shetty as chief executive officer, who will focus on the growth of the India business, aimed at creating value for its shareholders.
“The current Indian healthcare market looks promising and post segregation, our efforts will be to dynamically increase our footprint in India,” said Moopen, founder chairman, Aster DM.
“Through both greenfield and brownfield opportunities, we aim to take our total bed tally in India to over 6600 (beds) in the coming 3 years and scale up our labs and pharmacy business to emerge as the top 3 integrated healthcare providers in India,” Moopen added.
Aster DM in India has 19 hospitals, 13 clinics, 223 pharmacies (operated by Alfaone Retail Pharmacies Private Limited under brand license from Aster), and 224 labs and patient experience centers across five states.
