Aster DM Shares Hit Life-High After Board Approves Special Dividend
The dividend is on account of sale of the GCC business and redemption of preference shares issued to the company by Affinity Holdings Pvt.
Shares of Aster DM Healthcare Ltd. surged over 14% to a lifetime high on Monday after its board approved a dividend of Rs 118 per share. The special dividend will be paid within 30 days from the date of the declaration, an exchange filing said.
The dividend is on account of the receipt of proceeds from the sale of the GCC business and redemption of preference shares issued to the company by Affinity Holdings Pvt., a wholly owned material subsidiary of the company.
"The board may consider declaration of final dividend for the financial year 2023-24 at the board meeting, considering the approval of audited financial statements for FY 2023-24," the filing said.
Shares of the company rose as much as 14.3% before paring gains to trade 6.79% higher as of 11:37 a.m. This compares to a 0.62% decline in the NSE Nifty 50.
The stock has risen 27.89% year-to-date and 112.35% in the last 12 months. Total traded volume so far in the day stood at 8.38 times its 30-day average. The relative strength index was at 72.97, indicating that the stock may be overbought.
All six analysts tracking the company have a 'buy' rating, according to Bloomberg data. The average 12-month analysts' price target implies a downside of 6.3%.
