Bengaluru: Aster DM Healthcare is expected to announce a merger with Blackstone- owned hospital platform Quality Care India Ltd (QCIL) shortly today, sources told ET.
QCIL operates Hyderabad-based Care Hospitals and Kerala-based hospital chain KIMS.
Sources said Blackstone will be the largest shareholder in merged entity with about 30% stake, Aster DM Healthcare promoters will have around 24% and the rest will be held by public and other shareholders.
The merged entity will be known as Aster DM Quality Care and is likely to emerge as among the top three hospital chains in India with over 10150 beds of installed capacity and a combined revenue of Rs 7314 crore as of March 31.
Varun Khanna who is the Group MD of Quality Care will be the MD and Group CEO of the merged entity.
Azad Moopen, founder-promoter and chairman & managing director of Aster DM Healthcare will be the executive chairman of combined entity.
The promoters of Aster DM led by Moopen currently hold around 41.88%.
Aster DM has a market capitalization of RS 24,975.65 crore.
Shares of Aster DM Healthcare gained 2.36% and were trading at Rs 500 on BSE on Friday at 2.15 pm.
In May last year, Blackstone acquired about 73% stake in QCIL from TPG Growth-backed Evercare, valuing the chain at $800 million (₹6,600 crore). TPG Growth still owns a 25% stake in QCIL. Later in October 2023, Blackstone acquired KIMS valuaing it at Rs 3300 crore.
Aster DM has separated its India and Gulf Cooperation Council (GCC) businesses in November 2023.
Aster DM and Blackstone- declined to comment.
