Molbio Diagnostics IPO: Goa-based Molbio Diagnostics Limited, a leading molecular diagnostics company backed by Temasek and Motilal Oswal Private Equity, has officially filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) for an upcoming Initial Public Offering (IPO).
According to the draft papers, the IPO will comprise:
- A fresh issue of equity shares worth up to ₹200 crore
- An offer-for-sale (OFS) of up to 1.25 crore equity shares by existing investors
This IPO is expected to mark a significant milestone for Molbio Diagnostics, reinforcing its growth ambitions in the Indian healthcare and diagnostics sector.
Fund Utilisation Plan
As per the DRHP, Molbio Diagnostics has outlined a clear roadmap for the utilization of funds raised through the IPO:
- ₹99.3 crore will be allocated to set up infrastructure for a new Research & Development (R&D) centre, a Centre of Excellence, and supporting office facilities.
- ₹73.5 crore will go towards purchasing plant and machinery for its manufacturing facilities in Goa and Visakhapatnam.
- The remaining proceeds will be directed towards general corporate purposes.
This planned expansion is expected to strengthen the company’s innovation pipeline and increase production capacity.
About Molbio Diagnostics IPO
Founded in 2000, Molbio Diagnostics has emerged as a pioneer in point-of-care molecular diagnostics. The company develops solutions for the rapid detection of more than 30 infectious diseases, including:
- Tuberculosis (TB)
- COVID-19
- HIV
- HPV
- Hepatitis B & C
Its flagship innovation, the ‘Truenat’ platform, is a portable, battery-operated PCR device that delivers accurate results in less than an hour, even in resource-limited or remote environments. Truenat is currently patented in over 100 countries, highlighting the company’s global reach.
Manufacturing Footprint
Molbio Diagnostics operates five manufacturing units across India:
- Two facilities in Goa
- One in Visakhapatnam
- Two in Bengaluru (operated via subsidiary Prognosys Medical Systems)
These units manufacture diagnostic devices, test kits, and radiology equipment.
As of March 31, 2025, the company’s production capacity included:
- 3,600 diagnostic devices annually
- 3.9 crore Truenat test kits per year
Financial Performance
For the financial year FY25, Molbio Diagnostics reported:
- Revenue: ₹1,020 crore (22% year-on-year growth)
- Profit After Tax (PAT): ₹138.5 crore
This strong financial performance reflects the rising adoption of its diagnostic solutions and its expanding market presence.
IPO Lead Managers
The book-running lead managers (BRLMs) for the IPO include:
- Kotak Mahindra Capital
- IIFL Capital Services
- Jefferies India
- Motilal Oswal Investment Advisors
Their involvement signals strong institutional backing for the upcoming listing.
The Molbio Diagnostics IPO is set to draw significant investor attention, given the company’s proven track record, strong R&D focus, and expanding demand for molecular diagnostics in India and globally. With its robust financials and groundbreaking Truenat technology, Molbio Diagnostics is well-positioned to capitalize on the growing healthcare diagnostics market.
Investors will be watching closely as the IPO progresses through regulatory approvals and towards its eventual listing on the stock exchanges.