Molbio Diagnostics IPO has entered its second day of bidding on Tuesday, 11 August. The mainboard IPO received a strong response from investors on the first day of bidding.
On the first day of bidding, the Molbio Diagnostics IPO was subscribed 83% overall, with investors placing bids for 67.5 lakh shares against the 81.58 lakh shares available for subscription.
Founded in October 2000, Molbio Diagnostics Ltd. is a global molecular diagnostics company engaged in the development, manufacturing and commercialisation of rapid diagnostic solutions for infectious and non-communicable diseases.
The company is primarily known for its proprietary Truenat platform, a portable, battery-powered PCR-based molecular diagnostic system that can provide accurate test results within an hour. The platform is particularly designed to address healthcare needs in resource-constrained settings.
Molbio Diagnostics IPO subscription status
Molbio Diagnostics IPO has been subscribed over 1.22 times so far on the second day of bidding, as of 11 am.
The retail portion has been booked 1.28 times, meanwhile, NIIs and QIBs been subscribed over 1.38 times and 1.00 times. The IPO has received 99,91,386 shares against offered 81,58,529 shares.
Molbio Diagnostics IPO GMP today
The grey market is indicating strong demand for the Molbio Diagnostics IPO, with the latest grey market premium (GMP) at around ₹124 per share. This translates into a premium of nearly 15.37% over the IPO’s upper price band of ₹807 per share.
Based on the current GMP, the estimated listing price is around ₹931 per share.
However, investors should keep in mind that the GMP is an unofficial market indicator and can change significantly before the stock makes its debut. It reflects prevailing market sentiment and should not be considered a guaranteed indication of listing gains.
Molbio Diagnostics IPO Review
Brokerage firm Anand Rathi has given ‘subscribe – long term’ rating to the Molbio Diagnostics IPO.
“It has also strengthened its healthcare offerings through strategic acquisitions in radiology and digital pathology, while continuing to invest in R&D to expand its diagnostic portfolio and global footprint. At the upper end of the price band, the company is valued at 56.7x FY26 earnings, implying a post-issue market capitalization of ₹92,997 million. Considering its differentiated technology platform, strong intellectual property portfolio, recurring consumables-led business model, and longterm growth opportunities in the global point-of-care diagnostics market, we believe the issue is fully priced and recommend a “Subscribe – Long Term” rating to the IPO,” the firm said.
Swastika Investmart said the company’s valuation is broadly in line with industry levels and remains below the average P/E multiple of 64.9x for its listed peers. The brokerage noted that the ₹200 crore fresh issue will be utilised to expand capacity at the company’s Goa and Visakhapatnam facilities. Despite the significant offer-for-sale component, proceeds from the fresh issue are earmarked for growth-focused capital expenditure rather than debt repayment.
The brokerage also highlighted the company’s strong presence in the molecular diagnostics segment, backed by a scalable device-and-consumables business model. It expects the company to benefit from robust return ratios, improving margins and the structural growth of the diagnostics industry, supporting a positive long-term outlook.
Molbio Diagnostics IPO details
The public issue consists of a fresh issue of shares worth ₹200 crore and an offer for sale (OFS) of ₹739.70 crore, with the proceeds from the OFS accruing to the selling shareholders.
The IPO has been fixed in the price band of ₹768-807 per share and will remain open for subscription until August 12. At the upper end of the price band, the issue is expected to mobilise around ₹939.70 crore.
Market analysts have recommended subscribing to the IPO, noting that its valuations are broadly comparable with industry benchmarks. The company is also valued at a discount to the average price-to-earnings (P/E) multiple of 64.9 times commanded by its listed peers.
The OFS will see participation from multiple existing shareholders. Promoter entity Exxora Trading LLP will offload 18.11 lakh shares, worth around ₹146.15 crore at the upper price band. Corporate shareholder India Business Excellence Fund III will sell 10 lakh shares valued at approximately ₹80.70 crore, while promoter shareholder Chandrasekhar Bhaskaran Nair will offer 12.21 lakh shares worth nearly ₹98.53 crore.
Prior to the IPO, Molbio Diagnostics raised ₹281.5 crore from anchor investors. The company, which is backed by Temasek and Motilal Oswal Private Equity, allotted 34.87 lakh equity shares to 33 anchor investors at ₹807 per share, the upper end of the issue’s price band.
The basis of allotment is likely to be finalised on August 13, while the company’s shares are expected to make their debut on the NSE and BSE on August 17.
The IPO has a lot size of 18 shares, requiring retail investors to make a minimum investment of ₹14,526 at the upper price of ₹807 per share.
Kotak Mahindra Capital Company is acting as the book-running lead manager for the issue, while KFin Technologies Ltd. is the registrar.
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
