Dr Lal Pathlabs to acquire 70% of SN Genelab for ₹168 crore
The genomics-diagnostics deal adds specialised testing capabilities and strengthens Dr Lal Pathlabs’ presence in western India. The broker retains its Buy call, citing cross-selling opportunities and revenue synergies over the next two to three years.
What happened
Dr. Lal PathLabs · Dr Lal Pathlabs will acquire a 70% stake in genomics diagnostics operator SN Genelab for ₹168 crore, expanding specialised testing and
Key facts
- ₹168 crore acquisition for 70% stake in SN Genelab
- ~16x FY26 EV/EBITDA valuation
- Target price ₹2,100
- CMP ₹1,951.85
- West region contributed 14% of FY26 revenue
What changed
Dr Lal Pathlabs will acquire a 70% stake in genomics diagnostics operator SN Genelab for ₹168 crore, expanding specialised testing and West-region reach. The broker retains Buy, raising its September 2027 target to ₹2,100 on expected cross-selling and industry tailwinds.
Why this matters
Dr Lal Pathlabs’ 70% acquisition of SN Genelab for ₹168 crore expands specialised genomics testing capacity and deepens its western India footprint, creating cross-selling potential across its existing network.
What to watch
- Management disclosure of SN Genelab revenue, EBITDA margin, test mix and expected synergy timeline.
- Quarterly growth in specialised-test and genomics revenue, average revenue per patient and western-region market share.
- Evidence of cross-selling through Dr Lal Pathlabs collection centres, hospital accounts and corporate-health channels.
- Retention of SN Genelab founders, pathologists and technical personnel after closing.
- Integration costs, capex needs and any dilution in consolidated operating margin.