Molbio Diagnostics share price jumped over 5% on Thursday, 1 October, following bulk deal transactions in the stock a day earlier.
On 30 September, HDFC Mutual Fund acquired 23 lakh shares, representing a 1.99% stake in the Goa-based diagnostic solutions provider, for ₹302.45 crore. The shares were purchased at ₹1,315 apiece, according to BSE data.
Meanwhile, Business Excellence Trust III, managed by Motilal Oswal Private Equity, reduced its stake in Molbio Diagnostics by 2.02 percentage points by selling 23.28 lakh shares for ₹306.26 crore. The shares were sold at ₹1,315.01 apiece, as per BSE data.
Molbio Diagnostics shares opened at ₹1,309.55 on the BSE on Thursday and climbed to an intraday high of ₹1,378.55. The stock hit an intraday low of ₹1,309.45.
The shares have gained around 71% from their IPO issue price of ₹807.
Molbio Diagnostics made its stock market debut on 17 August, listing at ₹980 on the BSE, a 21.43% premium to its issue price of ₹807. The stock later touched ₹1,064.85 before ending the session at ₹1,036.30, up 28.41%.
On the NSE, Molbio Diagnostics was also listed at ₹980 and ended its debut session at ₹1,041.70, marking a gain of around 29% over the issue price.
Jefferies initiates coverage on Molbio Diagnostics with ‘Buy’ call, ₹1,600 target
International brokerage Jefferies has initiated coverage on recently listed Molbio Diagnostics with a ‘Buy’ rating, naming the medical equipment maker as its high-conviction top pick. The brokerage set a target price of ₹1,600 per share, which implies a potential upside of more than 98% from the IPO price of ₹807.
Jefferies said Molbio is among the few Indian innovation-led companies to have demonstrated the commercial success of a flagship platform, while several products in its pipeline could support long-term growth.
Jefferies highlighted Molbio’s focus on developing next-generation diagnostic platforms to address critical healthcare challenges. Founded by scientists Sriram Natarajan and Chandrasekhar Nair in 2000, the company has developed two platforms in-house and acquired another, while maintaining a pipeline of next-generation products. The brokerage noted that Molbio has secured 16 patents in India and 191 overseas.
According to Jefferies, Molbio’s Truenat platform represents a transformative innovation with significant growth potential. Developed over 13 years of research and development, Truenat is an ultra-portable, battery-operated molecular diagnostics platform designed to enable point-of-care testing.
The platform supports testing for 30 diseases and is patent-protected in more than 100 countries, Jefferies said. The brokerage also noted that Truenat operates in an oligopolistic market and is lighter, faster and less dependent on infrastructure than platforms such as GeneXpert.
While Truenat currently generates around $130 million in revenue, compared with GeneXpert’s roughly $3 billion in revenue, Jefferies believes the platform has substantial growth runway.
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