In early trading on April 15, shares of Aster DM Healthcare surged by 14 percent, hitting a fresh record high of Rs 558 on the National Stock Exchange. This increase follows the company’s announcement of a special dividend of Rs 118 per share.
Trading volume on the counter saw a significant surge, increasing more than four-fold compared to the weekly average, with a total of 1 crore shares changing hands on both the BSE and NSE combined.
The special dividend, approved by the Aster DM Healthcare board on April 12, will be payable to shareholders whose names appear on the register of members of the company as of April 23. It is scheduled to be paid within 30 days from the date of declaration, with the board opting not to declare an interim dividend for FY24.
The surge in Aster DM Healthcare’s stock comes on the heels of its completion of the separation of its India and GCC businesses on April 3. Under this plan, a consortium of investors led by Fajr Capital acquired a 65 percent stake in Aster GCC, while the Moopen family retained a 35 percent stake alongside management and operational rights in the GCC operations. In India, the Moopen family will maintain a 41.88 percent stake.
Management has expressed optimism about the Indian healthcare market and intends to focus on expanding its footprint in India post-segregation. The company aims to increase its total bed count in India to over 6,600 in the next three years through greenfield and brownfield opportunities, including projects such as Aster Capital in Trivandrum and Aster MIMS Kasargod, as well as adding bed capacity to existing hospitals.
Additionally, Aster DM Healthcare plans to explore potential markets such as Maharashtra and Uttar Pradesh, with a capital allocation of around Rs 1,000 crore earmarked for this expansion.
As of 10:05 am, Aster DM Healthcare shares were trading at Rs 520.50, up nearly 7 percent from the previous closing price. Year-to-date, the stock has surged approximately 30 percent, outperforming the benchmark Nifty 50, which has risen around 2 percent during the same period.
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