US-based investment management firm TPG has reduced its shareholding in healthcare services provider Aster DM Quality Care. Through its affiliate, Centella Mauritius Holdings Ltd, TPG sold a 6.66 per cent stake in the company via an open market transaction on Wednesday.
According to the bulk deal data available on the National Stock Exchange (NSE), the entity offloaded 5.81 crore shares of the Hyderabad-based healthcare provider. The shares were disposed of at an average price of Rs 766.17 apiece, bringing the total transaction size to Rs 4,451.45 crore.
Following this latest open market transaction, Centella Mauritius Holdings' equity stake in Aster DM Quality Care has declined significantly from 9.90 per cent to 3.24 per cent.
On the buying side, several institutional investors stepped in to acquire portions of the offloaded equity. HDFC Mutual Fund, Kotak Mahindra Mutual Fund, Citigroup Global Markets Singapore Pte, and Integrated Core Strategies Asia Pte collectively purchased 2,98,60,469 equity shares. This acquisition represents a 3.42 per cent stake in the healthcare firm.
These institutional entities acquired the shares in a price range of Rs 766.10 to Rs 766.14 apiece, taking the aggregate deal value for this buyer group to Rs 2,287.63 crore. Details regarding the other buyers who purchased the remaining portion of Aster DM Quality Care's shares could not be ascertained from the exchange data.
On the market front, following the transaction, shares of Aster DM Quality Care declined by 2.20 per cent to close at Rs 800 apiece on the NSE.
"Large secondary transactions and open market stake sales by private equity firms like TPG demonstrate active portfolio reshuffling in the healthcare sector. When institutional investors such as HDFC Mutual Fund and Kotak Mahindra Mutual Fund step in to absorb large blocks of shares, it reflects sustained institutional confidence in established healthcare businesses. Such high-value public market trades are standard mechanisms for early investors to realize returns while liquidity circulates among institutional participants." — Dr. Shishir Gupta, Founder & CEO, StartupLanes
