Aster DM to Add 350 Beds with INR 250 Cr Investment in BLR

Aster DM Healthcare's cumulative bed strength in the city will reach 1,602 beds, making it one of the largest healthcare providers in Bengaluru.

In a move to bolster its presence, Aster DM Healthcare has announced an addition of 350 beds in Bengaluru for INR 250 Cr. 

This development aims to increase Aster CMI Hospital, Bengaluru’s bed capacity from 500 to 850 by the financial year 2027. 

Reportedly, the hospital will undergo a massive infrastructure upgrade, adding 300,000 square feet to its existing facility. 

Moreover, with the planned expansion, Aster DM Healthcare's cumulative bed strength in the city will reach 1,602 beds, making it one of the largest healthcare providers in Bengaluru. 

Commenting on the same, Dr Azad Moopen, founder and chairman of Aster DM Healthcare, said, "Our phased expansion aligns with our vision to meet the increasing need for advanced and quality healthcare. Since its launch in 2016, Aster CMI Hospital has set new standards in the Bengaluru and South India healthcare market. This expansion further underscores our dedication to the Indian market.” 

He highlighted that the company has invested significantly in people, innovation, and infrastructure to create long-term value for all stakeholders.

According to him, this move aligns with the company's goal of becoming the third-largest healthcare player in India within the next three years.

Sharing insights, Dr Nitish Shetty, CEO of Aster DM Healthcare in India, said, "We are currently operating at full capacity, which necessitates the infrastructure upgrade to meet the growing needs of patients. This expansion reinforces our promise of making quality healthcare more accessible to the region. It is expected to positively impact EBITDA and PAT, with minimal fixed costs associated with the additional beds.”

Strategic Growth &  Future Plans

The company plans to add approximately 1,700 beds across its Indian facilities by FY2027, bringing the total bed count to over 6,600. 

This growth will be achieved through brownfield and greenfield projects, including upcoming facilities such as Aster Capital in Trivandrum and Aster MIMS Kasargod. 

The expansion will also focus on increasing bed capacity at existing hospitals. Aster DM Healthcare is exploring potential markets such as Maharashtra and Uttar Pradesh for further growth. 

The total capital allocation for this expansion is projected to be around INR 1,000 Cr.

Divestment in Gulf Business

In a strategic move, Aster DM Healthcare recently concluded the separation of its GCC (Gulf Cooperation Council) and India businesses into distinct entities. In November, the company sold a majority stake in its Gulf business to a consortium led by private equity firm Fajr Capital for $1 billion. 

The Moopen family retained a 35% stake in Aster GCC and continues to manage operations. 

Dr Azad Moopen remains the founder chairman, while Alisha Moopen serves as Aster GCC's Managing Director and Group CEO. This divestment aims to streamline operations and focus on growth opportunities in India.