Healthcare & Life Sciences
Aster DM Healthcare invested in Prime Hospitals for a majority stake
About
Prime Hospitals
Promoted by a team of doctor professionals, Prime Hospitals is a multi-locational multi-speciality tertiary care hospital and currently operates from 2 facilities in Hyderabad. The Company is expanding quickly into tier 2 and 3 cities across Telangana, Andhra Pradesh and Orissa and proposes to have 10 multi-speciality tertiary hospitals of 100-150 beds each in the region within the next 3-4 years.
Aster DM Healthcare
Aster DM Healthcare is the largest healthcare service providers in the Gulf Cooperation Council countries, with a rapidly expanding presence in India. Aster DM Healthcare owns and manages the ASTER and MEDCARE brands of hospitals, clinics and pharmacies in the UAE, Qatar, Oman, Saudi Arabia, Jordan and Philippines. Aster DM Healthcare also has significant presence in Kerala & Maharashtra and plans to expand its presence in the Southern & Western regions of India. It has also recently commenced its first hospital in Bangalore.
Background
We are pleased to announce that Aster DM Healthcare Private Limited (“Aster DM Healthcare”) has committed an investment of US$ 12mn for a majority stake in our client Sri Sainatha Multi-Speciality Hospital Private Limited (“Prime Hospitals”).
Prime hospitals plans to consolidate its presence in Hyderabad & expand across Telangana, Andhra Pradesh and Orissa to create a cluster of multi-speciality hospitals in the region. The transaction will combine the strong regional expertise of Prime Hospitals with the robust healthcare delivery processes & national brand visibility of Aster DM Healthcare.
Veda Corporate Advisors (“Veda”) was the exclusive advisor to Prime Hospitals & its promoters in the transaction. Veda provided comprehensive transaction advisory services covering strategic positioning, valuation and transaction structuring, assistance in due diligence, negotiation and finalization of definitive agreements, leading to the successful closure of the transaction.
This is Veda’s 4th transaction in the healthcare domain during the last 12 months. Olympus Capital Asia and India Value Fund Advisors’ investment in Aster DM Healthcare Private Limited, India Value Fund Advisors’ investment in Trivitron Healthcare Private Limited & CDC group’s investment in Rainbow Children Medicare Private Limited being the others.
This also marks Veda’s 12th transaction in the healthcare domain.