Written by : Dr. Aishwarya Sarthe
November 28, 2024
The transaction will make the hospital a wholly-owned subsidiary of Aster DM Healthcare.
Aster DM Healthcare, one of India’s largest integrated healthcare providers, has entered into an agreement to acquire the remaining stake in Aster Aadhar Hospital (Prerana Hospital Limited), Kolhapur, Maharashtra.
The transaction will make the hospital a wholly-owned subsidiary of Aster DM Healthcare. The acquisition, currently held by Aster DM Healthcare at an 87% stake, will be completed in two tranches. The company has set a deadline of 31 December 2025 for the complete acquisition.
Aster Aadhar Hospital, a 254-bedded multi-specialty hospital, is known for being the first in the Kolhapur region to receive NABH Accreditation, the benchmark for quality in healthcare. With over 25 specialties, the hospital provides a wide range of services backed by experienced doctors and support staff.
This acquisition is a significant step in Aster DM Healthcare’s growth strategy, as it aims to meet the increasing demand for advanced healthcare services in India. The company expects a compound annual growth rate (CAGR) of 18%- 20% for its India operations between FY25 and FY29.
Additionally, the Operating EBITDA margin is projected to rise to approximately 23%- 25% within the next five years.
With this move, Aster Aadhar Hospital will benefit from its parent company’s strong market presence and financial backing to consolidate growth and explore new opportunities in the healthcare sector.