Aster DM Healthcare , a leading healthcare provider, has made significant moves to strengthen its position in the Indian healthcare market. The company has increased its stake in a subsidiary and announced plans for a new super-specialty hospital in Bengaluru.

Acquisition of Additional Stake in Dr. Ramesh Cardiac & Multispecialty Hospital

Aster DM Healthcare has acquired an additional 13% stake in its subsidiary, Dr. Ramesh Cardiac & Multispecialty Hospital Pvt Ltd (DRCM), for INR 63.01 crores. This acquisition increases Aster's shareholding in DRCM from 57.49% to 70.49%. The transaction follows the exercise of a put option by DRCM's promoter group under a shareholders agreement dating back to April 2016.

DRCM, established in 1995 and based in Vijayawada, has shown strong financial performance. For the fiscal year ending March 31, DRCM reported:

The acquisition is expected to be completed within the next 1-2 months and does not require any governmental or regulatory approvals.

New Super-Specialty Hospital in Bengaluru

In a separate development, Aster DM Healthcare has approved a 30-year lease agreement with KEMWELL Private Limited for a property in Yeshwanthpur, Bengaluru. This strategic move aims to establish a 500-bed super-specialty hospital in the area.

Key details of the project include:

• Investment: INR 580 crores, to be funded through bank loans and internal accruals
• Expected Operations Start: Second half of FY 2028-29
• Location: Yeshwanthpur, a rapidly developing corridor in northwest Bengaluru
• Connectivity: Excellent metro and railway connectivity

The new hospital is designed to serve the growing healthcare needs in the Yeshwanthpur area, which is experiencing increasing demand for advanced tertiary healthcare services.

Expanding Footprint

These developments are part of Aster DM Healthcare's strategy to expand its presence in key markets. The company's existing capacity stands at 5,159 beds as of March 31, with an occupancy rate of 65%. The addition of the 500-bed facility in Bengaluru represents a significant expansion of the company's healthcare infrastructure.

Aster DM Healthcare's Investment and Finance Committee approved these decisions in a meeting held on July 30. The company expects these strategic moves to strengthen its position in the healthcare sector and cater to the increasing demand for quality healthcare services in India.

As the healthcare landscape continues to evolve, Aster DM Healthcare's expansion plans demonstrate its commitment to growth and improved healthcare accessibility in key Indian markets.

Aster DM Healthcare , a leading healthcare provider, has made significant moves to strengthen its position in the Indian healthcare market. The company has increased its stake in a key subsidiary and announced plans for a new super-specialty hospital in Bengaluru.

Acquisition of Additional Stake in Dr. Ramesh Cardiac & Multispecialty Hospital

Aster DM Healthcare has acquired an additional 13% stake in its subsidiary, Dr. Ramesh Cardiac & Multispecialty Hospital Pvt Ltd (DRCM), for INR 63.01 crores. This strategic move increases Aster's shareholding in DRCM from 57.49% to 70.49%. The acquisition follows the exercise of a put option by DRCM's promoter group under a shareholders agreement dating back to April 2016.

DRCM, established in 1995 and based in Vijayawada, has shown strong financial performance. For the fiscal year ending March 31, 2025, DRCM reported a turnover of INR 258.00 crores and a profit of INR 12.82 crores. The company has demonstrated consistent growth over the past three years:

The acquisition is expected to be completed within the next 1-2 months, further consolidating Aster DM Healthcare's position in the healthcare sector.

New Super-Specialty Hospital in Bengaluru

In a separate development, Aster DM Healthcare has approved a 30-year lease agreement with KEMWELL Private Limited for a property in Yeshwanthpur, Bengaluru. This move paves the way for the establishment of a new 500-bed super-specialty hospital in the area.

Key details of the project include:

• Investment: The project requires an investment of INR 580.00 crores, which will be financed through bank loans and internal accruals.
• Timeline: Operations are expected to begin in the second half of FY 2028-29.
• Strategic Location: The hospital will be situated in the rapidly developing Yeshwanthpur corridor, benefiting from excellent metro and railway connectivity.
• Capacity Addition: This new facility will significantly expand Aster's presence, adding to its existing capacity of 5,159 beds (as of March 31, 2025).

The lease agreement includes a 30-year term from the lease commencement date, with a lock-in period of 30 years for the lessor and 12 years for Aster DM Healthcare. The company will pay rent based on per square foot of chargeable area, plus applicable taxes, and has provided an interest-free refundable security deposit of INR 58.65 crores.

Aster DM Healthcare's expansion strategy aims to cater to the growing healthcare needs in Bengaluru's northwest region, which has been experiencing rapid development and increasing demand for advanced tertiary healthcare services.

These strategic moves by Aster DM Healthcare underscore the company's commitment to expanding its footprint in key markets and enhancing its capabilities in specialized healthcare services. As the healthcare sector continues to grow in India, Aster's investments in both existing and new facilities position it well to meet the rising demand for quality healthcare services.