The Competition Commission of India (CCI) has approved the merger between Aster DM Healthcare and Blackstone and TPG-owned Quality Care India, the Bengaluru-based company said in a release on April 18.
The merged entity Aster DM Quality Care will be jointly controlled by Aster Promoters and Blackstone. The combined entity will have a network of 38 hospitals and over 10,150 beds spread across 27 cities, making it one of the top three hospital chains in the country, it said.
"For the merger to complete, the CCI approval is an important milestone, and we are happy that we got the approval from regulatory authority,” Azad Moopen, founder & chairman, Aster DM Healthcare, said.
Moneycontrol reported in September 2024 that Care Hospitals was in advanced talks for a so-called reverse merger with Aster DM Healthcare.
The merger is not merely a consolidation of resources, but a convergence of vision, expertise, and a shared commitment to building one of the largest and most impactful healthcare networks in the country, Moopen said.
“The integration of Aster and Quality Care’s extensive networks and operational expertise will significantly strengthen our capacity to deliver world-class healthcare, foster innovation, and elevate patient outcomes,” he said.
Aster DM Quality Care will have a combined portfolio of four brands — Aster DM, CARE Hospitals, KIMSHEALTH and Evercare.
Aster DM Healthcare is one of the largest healthcare service providers in India with a strong presence across primary, secondary, tertiary, and quaternary healthcare through 19 hospitals with 5,128 beds, 13 clinics, 203 pharmacies and 254 labs.
Founded in 1987 by Moopen from a single clinic in Dubai, Aster has since expanded in the Gulf and India, operating dozens of hospitals as well as hundreds of clinics and pharmacies. Earlier this year, the company separated its business in the Gulf from the India business, a Bloomberg report said.
The Care Hospitals platform includes assets in India and Bangladesh run by Care and the Kerala Institute of Medical Sciences (KIMS Health), which were acquired by private equity firm Blackstone in October 2023.
Blackstone acquired a 73 percent stake in Care Hospitals for a valuation of Rs 6,600 crore, with TPG owning the remaining stake.
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