Market analysts have recommended subscribing to the issue, noting that Molbio Diagnostics’ valuations are broadly in line with industry benchmarks. The company is also being offered at a discount to the average P/E multiple of 64.9x for its listed peers, according to analysts.
The public issue comprises a fresh issue of shares worth Rs 200 crore and an Offer for Sale (OFS) of Rs 739.70 crore. Under the OFS, existing shareholders will sell a portion of their holdings, with the proceeds going to the selling shareholders.
The IPO price band has been fixed at Rs 768–Rs 807 per share. The issue will remain open for subscription until August 12, 2026, and is expected to raise approximately Rs 939.70 crore at the upper end of the price band.
Several existing shareholders will participate in the OFS. Promoter entity Exxora Trading LLP will sell 18.11 lakh shares, valued at approximately Rs 146.15 crore at the upper price band. Corporate shareholder India Business Excellence Fund III will offer 10 lakh shares, worth around Rs 80.70 crore, while promoter shareholder Chandrasekhar Bhaskaran Nair will sell 12.21 lakh shares, valued at approximately Rs 98.53 crore.
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The company raised Rs 281.5 crore from anchor investors ahead of its initial public offering (IPO). The company, backed by Temasek and Motilal Oswal Private Equity, has allotted 34.87 lakh equity shares to 33 anchor investors at Rs 807 per equity share, the upper end of the price band.
The basis of allotment is expected to be finalised on August 13, 2026. Following the allotment process, Molbio Diagnostics is likely to make its stock market debut on August 17, 2026, on both the NSE and BSE.The IPO has a lot size of 18 shares, meaning retail investors will need to invest a minimum of Rs 14,526 if they bid at the upper end of the price band of Rs 807 per share.
Kotak Mahindra Capital Company is acting as the book-running lead manager for the issue, while KFin Technologies Ltd. has been appointed as the registrar.
How Molbio Diagnostics Plans to Use IPO Funds
Molbio Diagnostics plans to utilise the IPO proceeds to expand its infrastructure and enhance its research and manufacturing capabilities. A significant portion of the funds—around Rs 125.12 crore—will be invested in capital expenditure for developing a research and development facility, Centre of Excellence, and related office infrastructure.
The company will also allocate Rs 80.81 crore towards purchasing plant, machinery, and other equipment for its manufacturing facilities located in Goa and Visakhapatnam. The remaining funds will be used for general corporate purposes. The total estimated utilisation of the IPO proceeds stands at Rs 205.93 crore.
About Molbio Diagnostics
Established in October 2000, Molbio Diagnostics Ltd. is a global molecular diagnostics company focused on developing, manufacturing, and commercialising rapid diagnostic solutions for infectious and non-communicable diseases.
The company is best known for its proprietary Truenat platform, a portable, battery-operated PCR-based molecular diagnostic system designed to deliver accurate test results within an hour, particularly in resource-constrained healthcare environments.
Molbio offers testing solutions for more than 30 diseases through 43 diagnostic assays, covering critical areas such as tuberculosis, COVID-19, HIV, Hepatitis B and C, and HPV.
Beyond molecular diagnostics, the company has expanded into areas including radiology, digital pathology, and breast health screening through subsidiaries and strategic partnerships. Backed by strong research and development capabilities, Molbio continues to build its diagnostics product pipeline.
Strong Financial Performance
Molbio Diagnostics has reported healthy financial growth ahead of its public issue. In FY26, the company’s total income increased by 42% year-on-year, rising to Rs 1,455 crore from Rs 1,027 crore in FY25. The company’s profitability also improved, with profit after tax (PAT) rising 18% to Rs 164 crore in FY26, compared with Rs 138.58 crore in the previous financial year.
With its focus on expanding diagnostic infrastructure, strengthening R&D capabilities, and scaling its global healthcare footprint, Molbio Diagnostics is entering the capital markets at a time when demand for rapid and accessible diagnostic solutions continues to grow.
Should You Subscribe?
Swastika Research has recommended subscribing to the Molbio Diagnostics IPO, citing attractive valuations and strong growth prospects. The issue is priced below the 64.9x average P/E of listed peers, making the valuation relatively reasonable.
The Rs 200 crore fresh issue will fund capacity expansion at the company’s Goa and Visakhapatnam facilities. Importantly, the proceeds are aimed at growth-focused capital expenditure rather than debt reduction, supporting Molbio’s expansion plans.
With a strong position in molecular diagnostics, a scalable business model and favourable industry trends, healthy return ratios and potential margin expansion further strengthen the long-term investment case, according to the research firm.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)