Neuberg Diagnostics Targets Rs 4,000 Crore IPO in FY28

Neuberg Diagnostics, a prominent Chennai-based diagnostics firm, has unveiled plans to launch an initial public offering (IPO) in the fiscal year 2028, aiming to raise between Rs 3,500 crore and Rs 4,000 crore. Founder and Chairman GSK Velu shared that the company intends to leverage this capital to enhance its footprint across India.

Pre-IPO Funding and Expansion Plans

In preparation for the IPO, Neuberg is set to embark on a pre-IPO funding round within the next three to six months, targeting a sum of Rs 500 crore. This funding will be pivotal in financing four to five strategic acquisitions, reinforcing its pan-India expansion strategy. Velu stated that the company plans to invest Rs 700-1,000 crore through fresh capital, internal accruals, and debt to support its growth initiatives.

"The plan is to prepare for an IPO in FY28, potentially between April and September, depending on market conditions and readiness," Velu elaborated. "The IPO itself could be in the range of Rs 3,500 crore to Rs 4,000 crore, including both a fresh issue and a secondary component for existing private equity investors."

Focus on Genomics and Preventive Healthcare

Neuberg Diagnostics is positioning itself as a leader in new-generation diagnostic technologies, with a particular focus on genomics testing and longevity programs. These areas are expected to be key drivers of growth, contributing significantly to the company’s revenue streams. Currently, new-generation tests account for 15% of Neuberg’s revenue, a figure projected to rise to 25% within three years.

As part of its western India expansion, Neuberg is launching a preventive health center in Mumbai. This facility will offer advanced diagnostic tests based on genetics, pathology, and radiology, aligning with the company's vision of a future dominated by preventive, predictive, and personalized healthcare.

Strategic Growth and Market Position

Neuberg's strategy is focused on becoming a dominant player in the diagnostics industry, aiming to secure the position of the second-largest entity in its sector. "We believe we can be in a strong position to emerge as the number two player," Velu commented, while acknowledging that this will also depend on the broader market dynamics and competitor actions.

The company’s gross revenue for fiscal year 2026 stood at Rs 1,400 crore, underscoring its robust market presence. Neuberg's immediate focus areas include Mumbai, Maharashtra, Delhi, and the National Capital Region (NCR), with plans to expand its offerings in genomics and advanced pathology. Executive Director and President Kavya Velu emphasized the importance of integrating partners with radiology capabilities to complement Neuberg's existing strengths.