ASTER DM GULF BUSINESS SALE
ET Analysis: Indian hospital chains report revenue growth & expansion plans amidst regulatory concerns
Leading hospital chains in India have reported improved average revenue per operating bed (ARPOB) and profitability in the latest quarter, driven by better payer mix and cost control measures. Expansion plans are underway, with a focus on markets like Bengaluru and Mumbai, through asset-light models. Adjacent businesses such as diagnostics, virtual care, and digital healthcare platforms are also seeing growth. However, regulatory proposals to rationalize rates may pose risks to sector valuations.
Our plan is to be among top three healthcare players in next 3-5 years: Nitish Shetty, Aster DM Healthcare
60% of that 1,700 beds are going to be brownfield projects. When I say brownfield, it is an expansion of the existing infrastructure, existing hospitals, adding additional beds to the existing hospitals.
Stocks in news: Vodafone Idea, Aster DM Healthcare, DMart, Vedanta, RBL Bank
DIFC Dubai Branch has arranged for syndicated term loan of $500 million ($400 million and Green Shoe of $100 million) in two tranches with tenure of 3 years and 5 years.
Aster DM completes separation of Gulf business, plans to add 1,700 beds in India in next 3 years
Aster DM Healthcare has finalized the separation of its India and Gulf (GCC) businesses. A consortium led by Fajr Capital acquired a 65% stake in Aster GCC, while the Moopen family retained 35%. In India, the family holds a 41.88% stake. The separation aims to enhance strategic and financial flexibility.
Aster DM in final stage of Gulf business sale
Aster is planning to add 1500 beds by FY27 and aims to be among the top 3 hospital chains in India. The expansion plan will encompass a mix of brownfield and greenfield projects, contributing to the company's growth strategy. The company has planned an outlay of Rs. 850-900 crore which will ensure robust financial support for driving the expansion.
Hospital chain Aster DM says deal to sell major stake in Gulf business nearing completion
Hospital chain Aster DM says deal to sell major stake in Gulf business nearing completion. The company last year agreed to sell a majority stake in its Gulf business to a consortium for $1 billion.
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Aster DM shareholders approve sale of Gulf business
Aster DM Healthcare last week said its board is considering plans to distribute to shareholders about 70-80% of the $903 million it will get by selling its Gulf business, translating into a dividend to its shareholders in the range of Rs 110/- to Rs 120/- per share, days after a proxy advisory firm Institutional Investor Advisory Services India (IiAS) has asked investors to veto the deal.
Aster DM wins over Street with a big payout plan
“Following deliberations regarding future expansion plans, capex requirements, and cash reserves, the board is desirous to consider the distribution of 70%-80% of the upfront consideration of $ 903 million, as dividend to its shareholders, i.e. in the range of 110 to 120 per share,” the company announced on Monday.
Aster DM shares soar 12%, hit 52-week high. Here's why
The board of directors held a meeting on Monday to discuss the progress of the transaction between Affinity Holdings and Alpha GCC Holdings for segregation of the company’s GCC business.
Aster DM to consider paying Rs 110-120 dividend from proceeds of gulf business sale
The board of directors held a meeting earlier on Monday to discuss the progress of the transaction between Affinity Holdings and Alpha GCC Holdings for segregation of the company’s GCC business.
Proxy advisor against Aster DM Healthcare's gulf deal
Aster DM has proposed two resolutions - the sale of its GCC business to Alpha GCC, a related party transaction, and the sale of subsidiary Affinity Holdings to Alpha GCC. The e-voting, which began on December 24, will end on January 24.
Aster DM to tap private equity investors for its India business
"We are getting a lot of inbound interest from investors in the last six months; now it has increased," Dr. Azad Moopen, chairman of Aster DM Healthcare, said in an interview to ET. "The active work on this will happen once the transaction (business sale in the GCC countries) is completed. We are looking for the best PE or investor who is ready to align with our plans," Moopen added.
Breakout Stocks: How Aster DM, Borosil Renewables and Torrent Power are looking on charts for Thursday’s trade
Sectors that were in focus include banks, auto, IT, oil & gas, and capital goods. Selling was seen in realty and consumer durable stocks.
Aster DM Healthcare shares zoom 15%, hit 52-week high on sale of Gulf business for $1.01 billion
“The board of directors of Affinity approved the sale of shares held by Affinity in Aster DM Healthcare FZC to Alpha GCC Holdings Limited and the execution of definitive agreements in connection with the Transaction,” said Aster in a filing.
Aster DM Healthcare sells majority in Gulf business to Alpha for $1.01 billion
Out of the total consideration, $903 million is payable at closing of the deal and up to $98.8 million may be received subsequently, subject to certain contingent events, Aster DM Healthcare said in a statement to stock exchanges. The deal also includes an earnout of up to $70 million based on earnings before interest, tax, depreciation and amortisation (Ebitda) achieved by the GCC business for the financial year ending March 2024.
Aster DM sells stake in its Gulf business for $1.01 billion
Aster DM Healthcare plans to sell its stake in its Gulf business to Alpha GCC Holdings for $1.01 billion, aiming to separate its operations in India and the Middle East. The buyer, with a shareholding ratio of 35:65 owned by Aster India's promoters and funds managed by Fajr Capital Advisors Limited, will acquire the stake.
Ahead of Market: 10 things that will decide D-Street action on Thursday
The short-term trend of Nifty continues to be negative. Having placed at long-term support at the lows, there is a possibility of a small upside bounce from near 19100-19000 levels. A breakdown of 19000 is likely to open the next downside of 18600 levels in the near term. Any upside bounce from here could find strong resistance around 19250-19350 levels, said Nagaraj Shetti, Technical Research Analyst, HDFC Securities.
6 stocks from hospital sector with upside potential of up to 27%
While all the headlines have been hogged by new age companies and sectors, there has been a sharp surge in valuations in one sector which has performed extremely well in the last two years. It i the hospital space and it is still under the radar. The post listing performance of IPOs from this space shows that both domestic and institutional investors are ready to pay a premium to have these stocks in their portfolio. Given the macro picture , it has a secular growth trend as per capita spending is likely to continue to increase.
Aster’s India unit draws suitors valuing business at $1.5 billion
Private equity firms BPEA EQT and Ontario Teachers' Pension Plan Board are considering acquiring Aster DM Healthcare Ltd.'s assets in India. The deal would allow the investors to tap into the growth potential of healthcare services in the country. Other potential bidders for Aster's India business include Blackstone and KKR.
Aster Healthcare's promoters in talks with private equity groups, look to sell India business
Aster DM Healthcare’s founder Azad Moopen is in talks to sell a controlling stake in the India-listed hospital company to private equity firms including Blackstone and KKR. The company operates 32 hospitals in West Asia and India, as well as clinics, pharmacies, laboratories and patient experience centres. The discussions are preliminary and focus on a reverse merger with Care Hospitals, though both funds reportedly want a controlling stake or agreed path to control.
FIIs keen to offload stake in Aster DM Health for $300m
The UAE-based promoters own 41.88% and FIIs 38.63% in the company. As per the reports, Aster's investors Olympus Capital, which has a 19% stake and Mauritius-based investment firm Rimco, with a 12% stake, are considering the sale.
Investors in Aster DM look to pare their stake in hospital biz
The UAE-based promoters own 41.88% and FIIs 38.63% in the company.
Promoters increase stake in Aster DM Healthcare by 4% for Rs 460 cr
The hospital chain operates 15 hospitals offering 4,095 beds, which will go up to 4,670 across 18 hospitals by the next financial year and is the largest chain in the GCC countries with 15 hospitals. They also operate 113 clinics and 257 pharmacies in these Gulf Cooperation Council markets
Aster DM promoter family increases stake by 4%
With the latest share purchase, the promoters of Aster DM Healthcare have increased their shareholding in the India-listed company to 41.88%
7 midcap stocks, 1 with “Strong Buy” and 6 with “Buy” recommendations with potential upside of up to 30%
Four pharma companies, a southern india focussed real estate player to mid-cap software company have seen an improvement in their overall score in a volatile week. ET screener powered by Refinitiv’s Stock Report Plus applies different algorithms & filters to all BSE and NSE stocks, and lists down stocks which fulfill the various criteria as specified into the algorithms & filters.
Stocks in the news: ACC, ICICI Lombard, PVR, Tata Coffee, ZEEL and Aster DM
ICICI Lombard GIC, Schaeffler India, Gujarat Fluorochem, Polycab, LTTS, Tata Communications, KPIT Tech, HFCL, Mahindra CIE Automotive and Praj Industries are among the companies that will announce their results for September 2022 quarter today.
Would shift in focus to India biz spell better times for Aster DM's financials?
As of June 30, 2022, the company has 14 hospital units, 110 clinics and 245 pharmacies in the GCC region and 15 hospitals, 11 clinics and 176 pharmacies in India (Q1FY23 investor presentation). Aster DM Healthcare earned a revenue of Rs 7,869 crore in the GCC region in FY22 against Rs 2,383 crore in India. The revenue distribution from GCC and India in the last 5 years is as below:
Post solid Q4 show, Street sees up to 60% upside in this healthcare stock. Time to buy?
Domestic brokerage Elara Capital has a Buy rating on the counter with a target price of Rs 285, a 60% upside from Wednesday's close. ICICI Securities has also upgraded the stock to Buy with a target of Rs 213.
Stocks in the news: Delhivery, Venus Pipes, Maruti, BEL, Zomato and Marico
Adani Ports, Grasim, Info Edge, Minda Industries, Phoenix Mills, Ipca Labs, Bayer Cropscience, Bank of India, KIOCL, Shree Renuka Sugars, Metropolis and Aster DM are among the companies which will announce their March quarter earnings today.
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