Aster DM Kicks Off Merger Process with INR 849 Cr Stake Buy in QCIL

Upon completion and regulatory approval, the merged entity ‘Aster DM Quality Care’ will be jointly controlled by Aster Promoters and BCP.

Healthcare service provider Aster DM Healthcare has finalised the acquisition of a 5% equity stake in Quality Care India Ltd. (QCIL) from BCP Asia II TopCo IV Pte (BCP Asia) and Centella Mauritius Holdings through a share swap arrangement.

This acquisition marks the initial step in the merger between Aster DM Healthcare and QCIL, which was first disclosed on November 29, 2024. According to the company's exchange filing, the merger is anticipated to be completed later this year.

The transaction, valued at approximately INR 849 Cr, was executed without any cash outflow from Aster DM Healthcare.

As part of the deal, Aster acquired 1.90 Cr equity shares of QCIL from BCP Asia and TPG. In return, Aster allotted 1.86 Cr equity shares, each with a face value of INR 10, to the two entities.

The share swap was completed following the receipt of all necessary clearances, including shareholder approval, in-principle approvals from the BSE and NSE, and clearance from the Competition Commission of India (CCI).

The newly allotted shares will carry the same rights as Aster’s existing equity shares.

"Today marks a transformative step in our journey to become India’s most formidable integrated healthcare network," said Dr Azad Moopen, Founder Chairman, Aster DM Healthcare. He added that the acquisition is the "first step toward the strategic merger between Aster DM Healthcare and QCIL" and "lays the foundation for a unified, future-ready healthcare network with a strengthened pan-India presence".

Upon completion and regulatory approval, the merged entity ‘Aster DM Quality Care’ will be jointly controlled by Aster Promoters and BCP.

The merger will combine the operational strengths of two leading healthcare providers, united by a shared goal of expanding access to quality healthcare across India.

Currently, Aster DM Healthcare’s network includes 191 hospitals, 13 clinics, 232 labs and patient experience centres, and 2,122 pharmacies across 15 Indian cities. As of its investor presentation on Nov. 29, 2024, the company reported around 5,000 beds and over 2,600 doctors.

Quality Care India operates 19 hospitals with more than 5,150 beds across 14 cities, primarily focusing on non-metro markets.

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