Aster DM Healthcare and Blackstone-backed Quality Care India have announced a merger deal through a share swap deal. The merger will create one of India's top three hospital chains.

Aster DM Healthcare and Blackstone and TPG-backed Quality Care have decided to merge to create one of India's top three hospital chains.

Aster DM Healthcares shares experienced a significant surge, climbing up to 5% intraday, following the announcement of a definitive agreement to merge with Blackstone-backed Quality Care India Limited

Aster DM board has approved merger with Quality Care that makes them third largest healthcare chain by revenue and bed capacity in India.

Aster DM Healthcare, one of India's largest integrated healthcare service providers, has entered into definitive agreement with Quality Care India (QCIL), backed by Blackstone and TPG, to merge, creating one of the country's top three hospital chains.

The merger between Aster DM Healthcare and QCIL, valued at $5.08 billion, forms Aster DM Quality Care, the third-largest hospital chain in India. The entity will operate 38 hospitals with plans to increase bed capacity significantly over the next two years.

Aster DM Healthcare acquires Quality Care India, forming Aster DM Quality Care Ltd with 38 hospitals and ₹7,300 crore revenue.

On Friday, Aster DM said in a stock exchange filing it would acquire 19 million equity shares of Quality Care India (QCIL) from Blackstone and Centella at Rs 445.8 per share by issuing 18.6 million of its own shares to QCIL’s shareholders at Rs 456.

In the merged entity, Aster promoters and Blackstone will hold 24% and 30.7% stakes, respectively, while the balance 45.3% will be owned by other shareholders.

Aster DM Healthcare and Blackstone-owned QCIL have agreed to merge, forming Aster DM Quality Care Limited. Blackstone will hold roughly 30.7% of the merged entity, valued at ₹42,000 crore. The deal, expected to close by Q3 FY26,