World Bank Group's International Finance Corporation has returned as an anchor investor in India's mainboard IPO market after a gap of five years, investing Rs 20 crore in IPO-bound Molbio Diagnostics. The Goa-based point-of-care diagnostics company raised Rs 281 crore from anchor investors on Friday ahead of its public issue, which opens for subscription on August 10 and closes on August 12.

IFC, the private-sector investment arm of the World Bank Group, last participated as an anchor investor in an Indian IPO in June 2021, when it invested Rs 10 crore in Dodla Dairy. According to news reports, IFC stayed invested in Dodla Dairy for three years until 2024.

The investment marks a notable institutional endorsement for Molbio Diagnostics, which is regarded as Goa's first unicorn and is backed by Temasek and Motilal Oswal Private Equity. HDFC Mutual Fund led the anchor book with a Rs 35 crore investment across four schemes: HDFC Pharma and Healthcare Fund, HDFC Value Fund, HDFC Innovation Fund, and HDFC MNC Fund.

Kotak Mahindra Life Insurance Company and Susquehanna Asia Technology Pty Ltd also participated in the secondary purchase. Among the investors, 360 ONE Asset invested Rs 30 crore.

3P Investment Managers, Neo Alternative Asset Managers, Kotak Mahindra Life Insurance, and Susquehanna International Group invested Rs 25 crore each. WhiteOak Capital Asset Management put in Rs 20 crore, while Motilal Oswal Asset Management invested Rs 10 crore.

The pre-IPO secondary deal points to strong institutional interest in Molbio ahead of its listing. Brokerages recommend subscribingMolbio's Rs 940 crore IPO has received positive recommendations from several brokerages.

BP Wealth, Swastika Investmart, and Ventura Securities have given the issue a Subscribe rating, while SBI Securities has recommended Subscribe for Long Term. 7%, respectively.

5 times, appeared reasonable compared with the company's growth profile, profitability, return ratios, and position in the diagnostics ecosystem. It said future growth would be driven by assay expansion, rising adoption of molecular diagnostics, international market penetration, and investments in research, development, and manufacturing.

9 times. It also noted that the Rs 200 crore fresh issue proceeds are meant for growth capital expenditure rather than debt reduction.

IPO opens on August 10Molbio Diagnostics' IPO will open on Monday, August 10, and close on Wednesday, August 12. The company plans to use Rs 106 crore from the fresh issue proceeds to fund capital expenditure for setting up infrastructure for an R&D facility, Centre of Excellence, and connected office space.