Aster DM surges 3.5% on separation of India, Gulf businesses

Shares of Aster DM Healthcare soared 3.5 percent in the opening trade on April 4 after the company concluded the separation of its India and Gulf Cooperation Council (GCC) businesses.

At 10.04 am, shares of Aster DM Healthcare were trading at Rs 423.70 on the NSE.

After the separation, a consortium of investors led by Gulf-based private equity firm Fajr Capital acquired a 65 percent stake in Aster GCC. The remaining  35 percent stake along with management and operational rights will stay with the promoters, the Moopen family.

As for India operations, the Moopen family will continue to own a 41.88 percent stake.

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Azad Moopen will continue as the founder chairman. Alisha Moopen will retain her position as a director on the board of the company while also serving as the managing director and group CEO of Aster GCC.

"The Indian entity will be led by Nitish Shetty as CEO, focusing on driving growth in the India business to create value for shareholders," the company said.

The company announced the conclusion of the transaction, with Affinity Holdings Ltd, a wholly owned subsidiary, receiving a cash consideration of $907.6 million.

It was in November that Aster DM Healthcare got the board's approvals to separate its Gulf and India businesses.

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