Latest news with #Moopen
Mint
3 days ago
- Business
- Mint
Aster DM sets sights on pan-India expansion after merger with Quality Care
Aster DM Healthcare's merger with Blackstone-backed Quality Care India Ltd (QCIL) was an inflection point for the hospital chain as it embarks on an ambitious expansion plan, deputy managing director and promoter Alisha Moopen told Mint in an interview. The Bengaluru-based hospital group aims to expand its footprint across the country and become a pan-India healthcare leader in the next ten years, said Moopen. However, even as the company explores further inorganic opportunities, it is treading cautiously. 'It has to make business sense…transactions are hard to execute because Indian markets have become so hot," said Moopen. 'But if there's a great asset at the right price…of course, we'll look at it," she added. Read more: Apollo Hospitals: Simplifying corporate structure could lead to rerating The merged entity Aster DM Quality Care Ltd, jointly controlled by Aster's promoters and Blackstone, is in the fray for the acquisition of Canada's Ontario Teachers Pension Plan (OTPP)-owned Sahyadri Hospitals, according to media reports citing sources. The Pune-based hospital has also reportedly received bids from Manipal Hospitals, Sweden-based investment firm EQT, and Malaysia-based IHH Healthcare. While Moopen declined to comment on the Sahyadri bid, she said that Aster would focus on the brand, reputation, trust and valuation of an asset when evaluating an acquisition. '…for us, we are all about sustainable growth," she said. Aster DM announced in late November 2024 that it was merging with QCIL in a deal that will value the combined entity at $5.08 billion ( ₹43,000 crore). The merger is expected to conclude in the next six months. The deal catapulted the merged entity among the top three hospital chains in India by bed size. The combined entity will have 10,301 beds, doubling from Aster DM's current bed capacity of 5,159. It also opens up new markets for Aster, which already has a strong footprint in Kerala and Karnataka, in new states like Madhya Pradesh, Odisha, Chhattisgarh and Tamil Nadu. 'The transaction is an inflection point for the organization, and it's something which we believe will really set us up to become the gold standard for healthcare here," said Moopen, adding that the hospital chain, which has its roots in Dubai, is 'probably one of the youngest [healthcare] brands in this country". 'We were spending a lot of time just setting up the core and setting the foundation. But now hopefully with this merger, we can really sort of have that exponential growth," said Moopen. Expansion plans The merged entity has plans to grow organically through greenfield and brownfield projects in south and central India where Aster DM and Quality Care have strongholds. The total planned bed addition is over 3,300 beds over the next three years. However, growing pan-India and entering new markets is more challenging, said Moopen. 'It takes a good five to ten years to understand a new market," she said, adding that it's all about understanding regional nuances. However, making inroads through an already established player, via an acquisition or a merger, offers up an opportunity to meaningfully scale up in new markets, she added. 'When the merger was happening, that was one of the biggest advantages we saw. Because it opens up three, four new states for us," said Moopen. '...we said, this is great. We don't have to go in from scratch." Read more: Inside Cipla's battle with 'superbugs' as antibiotic resistance rises in India The company plans to grow organically for the next three to four years in its core markets through strategic bed capacity addition, with a total capex outlay of ₹1,878 crore. However, the company is already eyeing the North India market and hopes to start making inroads in the next two to three years. 'Whether we plan that organically or inorganically will depend on what happens in the next couple of years in terms of the opportunities that come up…we are evaluating all aspects," said Moopen. The company plans to fund its organic growth through internal accruals, and will explore raising debt for its inorganic plans, said Moopen. India's private healthcare space is seeing a spree of expansions and consolidation, with major competitors like Apollo Hospitals, Max Healthcare and Narayana Health announcing large expansion plans for the next four to five years. According to a 2024 report by HSBC Global Research, seven listed hospitals will add 14,000 beds over the course of 3-5 years. Read more: Will Torrent Pharma's big bet on JB Chemicals pay off?
New Indian Express
22-06-2025
- Business
- New Indian Express
‘We plan to add 1,700 beds by FY27; 57% beds likely in tier 2/3 cities'
Kochi- and Dubai-based Aster DM Healthcare, founded by Dr Azad Moopen in 1987 with a single clinic in Dubai, expects to complete the takeover of the Blackstone and TPG-backed Quality Care Hospital by the fourth quarter of this fiscal. The takeover will result in the third largest hospital chain Aster Quality Care, after Apollo and Fortis, with 38 hospitals across four brands -- Aster DM, Care Hospitals, KIMS Health and Evercare -- offering over 10,150 beds spread across 27 locations. Aster Quality Care is now jointly controlled by the Moopen family holding 24% and Blackstone owning 30.7%. In an interaction with Benn Kochuveedan of TNIE, Dr Azad Moopen shares his plans and expectations from the largest deal that his group has done. Excerpts: When do you see the merger of Quality Care Hospital getting completed? What are the targets in terms of revenue, profit expansion etc? The merger brings together four leading healthcare brands — Aster DM, Care Hospitals, KIMS Health, and Evercare — forming one of the largest hospital chains with 38 hospitals and over 10,150 beds across 27 cities. Financially, the merger strengthens the balance sheet and cash flow, enabling accelerated expansion plans. We aim to increase bed capacity to around 13,300 beds by FY27, further expanding our reach into tier 2 and 3 cities, providing a platform for sustained growth in the future. The merger is expected to be concluded by Q4FY26, with benefits expected to start flowing in from early FY27. What are the synergies you see from the merger? The merger unlocks significant synergies that will drive growth, operational efficiencies, and enhanced patient care across the combined network. Integrating our extensive hospital portfolios will allow the new entity to benefit from economies of scale by negotiating better terms with suppliers, reducing costs, and streamlining inventory management that will lower operational expenses and improve margins. What is the capex plan for fiscal 2026, especially in light of the merger-driven expansion? How many more hospitals and beds to come up this fiscal? We plan to add 1,700 beds by FY27, taking the total bed tally in India to over 6,800 through the organic route and will further look for expansion through the inorganic route. Our overall capital allocation for expansion across the domestic market is Rs 1,400 crore, of which we have already spent around Rs 350-400 crore. You have announced a Rs 850-crore investment in Kerala. What is the strategic thinking behind focusing so much on Kerala, which is often seen as a relatively mature market? Kerala is now poised for a significant transformation with a planned investment of Rs 850 crore over the next three years. This expansion will be anchored by two major greenfield projects: Aster Capital Trivandrum, a 454-bed tertiary care facility, and Aster MIMS Kasaragod, a 264-bed multispecialty hospital. In addition, our flagship hospital, Aster Medcity in Kochi, is undergoing a substantial upgrade. By FY27, our total bed capacity in Kerala is expected to reach 3,453, marking a milestone in our journey of delivering quality healthcare and driving sustainable growth. Affordable healthcare remains a chimera for the average citizen. What is Aster doing differently on this front? To balance affordability and sustainability, we centralise complex procedures in larger hospitals, while smaller units focus on primary/secondary care. By FY27, as much as 57% of our planned bed additions will be in tier 2/3 cities, reinforcing our commitment to these regions. Technology is key to bridging gaps, with telemedicine set to grow at 20.7% annually till FY30, reaching $15.1 billion. Our digital health arm is expanding tele-ICU, teleradiology, AI-driven diagnostics, IoT monitoring, and EMR platforms to enhance accessibility, affordability, and quality care nationwide. What are the digital initiatives of the group? Some of our technology-driven, patient-friendly initiatives include the introduction of the Aster Health app that offers appointment bookings, e-pharmacy, and access to digital health records. We have come up with AI-powered diagnostic solutions, including the Carpal Tunnel Syndrome detection tool in collaboration with the Indian Institute of Science. We are also expanding the home healthcare services under Aster@Home, providing in-home consultations, diagnostics, and physiotherapy, catering to India's growing elderly and chronic care populations.
Time of India
30-04-2025
- Business
- Time of India
Aster DM Healthcare completes acquisition of 5% stake in Quality Care India through share swap
Aster DM Healthcare has finalized the acquisition of a 5% stake in Quality Care India Ltd (QCIL) through a share swap with BCP Asia II TopCo IV Pte Ltd and Centella Mauritius Holdings Limited. This acquisition marks the initial phase of the strategic merger between Aster DM Healthcare and Quality Care India. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Leading healthcare service providers Aster DM Healthcare has completed acquisition of 5% stake in Quality Care India Ltd (QCIL) from BCP Asia II TopCo IV Pte Ltd (BCP) and Centella Mauritius Holdings Limited (Centella) through a share acquisition is the first step towards the strategic merger between Aster DM Healthcare and Quality Care India announced in November, Aster DM said in a press statement on Wednesday. The merger is expected to be completed this transaction was completed by acquiring 1,90,46,028 equity shares of QCIL by Aster DM Healthcare from BCP and TPG for a value of Rs 849.13 crore. As discharge of the total purchase consideration payable, Aster DM Healthcare has allotted 1,86,07,969 equity shares (face value Rs 10 each) to BCP and share swap has been undertaken pursuant to receipt of necessary approvals, including shareholder consent, in-principle approval from BSE and NSE, and CCI approval and is subject to the final listing and trading approval from BSE and NSE for the new equity shares allotted to BCP and Centella by Aster, the statement Azad Moopen, Founder Chairman, Aster DM Healthcare said: 'The acquisition of 5% stake in QCIL through a share swap is the first step towards the strategic merger between Aster DM Healthcare and QCIL.''This move lays the foundation for a unified, future-ready healthcare network with a strengthened pan-India presence. As we progress toward full integration, our focus remains firm towards creating significant long-term value for all our stakeholders,' Moopen newly issued shares will have equal rights with existing equity shares of merged entity (subject to approvals) ' Aster DM Quality Care ' will be jointly controlled by Aster promoters and BCP.
Mid East Info
28-04-2025
- Health
- Mid East Info
Dr. Azad Moopen Honored with Lifetime Achievement Award at AKMG's MARAAYA 2025 Convention in Ras Al Khaimah
Dr. Azad Moopen, Founder Chairman of Aster DM Healthcare and founding president of AKMG Emirates, was conferred with the prestigious Lifetime Achievement Award at the biennial convention of the Association of Kerala Medical Graduates (AKMG), MARAAYA 2025. The ceremony, held at the Cultural Development Centre in Ras Al Khaimah, brought together prominent healthcare professionals and dignitaries from around the world. The award recognized Dr. Moopen's visionary leadership and momentous contributions to the healthcare sector, as well as his pivotal role in establishing and nurturing AKMG Emirates. Dr. Moopen's vision and relentless dedication have been instrumental in establishing AKMG Emirates, and his leadership continues to be the cornerstone of the association's ongoing success. Commenting on receiving the award, Dr. Azad Moopen, Founder Chairman of Aster DM Healthcare and Founding president of AKMG Emirates said, 'Over the decades, AKMG's growth and global collaborations, including with AKMG Emirates in the UAE, reflect the rising stature and recognition of Malayali doctors internationally, known not just for their clinical achievements, but also for their leadership, community-building, and humanitarian contributions across continents. With the continued commitment of our younger generation of healthcare professionals, I am confident that Malayali doctors will continue to prosper and further elevate their impact on global healthcare in the years to come. It is truly humbling to receive this recognition from AKMG Emirates, which has been such an integral part of the professional journey for doctors coming from Kerala. As someone who has always believed in the power of collective progress, I share this award with every member of the AKMG family who continue to work towards uplifting the standards of healthcare and professional excellence worldwide.' Dr. Azad Moopen began his remarkable journey in 1987 with a single clinic in Dubai. Guided by a mission to make quality healthcare more accessible and affordable, Dr. Moopen transformed Aster DM Healthcare into a global healthcare conglomerate with over 927 facilities across seven countries. His vision has revolutionized the healthcare landscape, offering affordable care while ensuring high standards. Today, Aster DM Healthcare is one of the largest integrated healthcare providers in the GCC and India, employing over 38,000 people, touching 20 million lives annually. In the GCC, Aster's network includes 15 hospitals, 122 clinics, and 313 pharmacies, complemented by myAster – the omnichannel digital health platform combining all of Aster's services. In India, Aster has 19 hospitals, 13 clinics, 203 pharmacies, and 254 labs & patient experience centers across 5 states. Dr. Moopen remains deeply committed to healthcare as a service, not just a business. Established in 1979-80, the Association of Kerala Medical Graduates (AKMG) has been a trailblazer among alumni organizations for medical and dental professionals of Kerala origin in North America. Over the years, AKMG has grown into a global network, committed to education, humanitarian service, and fostering strong professional ties among healthcare professionals across continents.
