Shares of Aster DM Healthcare rallied over 5 percent to touch a 52-week high of Rs 170.70 on Wednesday after the company entered into a share purchase agreement to acquire a 100 percent stake in Abu Dhabi-based Wahat Al Aman Home Healthcare LLC.

Share Market Live

NSE

At 11:10 am, the stock was trading higher by 5.54 percent at Rs 169.50 on the BSE.

The cost of acquisition is estimated to be AED 105 million, however, the actual amount is subject to change on the basis of the financial performance of the target entity, the company said.

Incorporated on February 24, 2019, Wahat Al Aman Home Healthcare is operating home healthcare business in Abu Dhabi & Al Ain.

“The company through its subsidiary, Aster DM Healthcare FZC, has entered into a share purchase agreement to acquire 100% stake in Wahat Al Aman Home Healthcare LLC, Abu Dhabi, on December 30, 2019, which will be EPS accretive,” Aster DM Healthcare said in a BSE filing.

The acquisition shall result in enhancing Aster DM Healthcare’s presence in the Abu Dhabi market. The entity’s business falls under the main line of business (healthcare services) of Aster DM Healthcare, it added.

The agreement needs approval from the Department of Economic Development & Department of Health of Abu Dhabi, the company said.