Shares of Aster DM Healthcare hit a 52-week high of Rs 449.70 on 16 January after the company announced the stake sale of its Gulf Cooperation Council (GCC) business to Alpha GCC Holdings nears completion.

In 2023, the company approved the stake sale of its business in the GCC region to Alpha GCC Holdings for $1.01 billion. The company will receive $903 million at the closing of the deal, and the remaining will depend on the fulfilment of certain conditions.

The company plans to distribute 70-80 % of the upfront payment of $903 million as a dividend to its shareholders, which will be in the range of Rs 110 to Rs 120 per share.

Alpha GCC Holdings will have ownership shared between the promoters and promoter group of Aster India, while funds will be managed by Middle East private equity firm Fajr Capital Advisors in a shareholding ratio of 35:65 at the closing of the transaction.

The filing added that the company’s reason behind the transaction was to segregate the India and the GCC business. The Indian healthcare business and GCC business have significantly evolved differently in the last five years.

The filing added, “The market has considered the news of the transaction favourably as is evidenced by the company’s stock price after announcement of the transaction, supporting this assessment.”

At 1:03 pm, the shares of Aster DM were trading 7.45% higher at Rs 430 on NSE.