<article>Diagnostics firm <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=Dr+Lal+Pathlabs">Dr Lal Pathlabs Ltd</a> on Monday sold shares worth Rs.191.4 crore ($28 million) to institutional investors from its anchor book, ahead of its initial public offering (IPO) that opens on Tuesday.</article>

Diagnostics firm <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=Dr+Lal+Pathlabs">Dr Lal Pathlabs Ltd</a> on Monday sold shares worth Rs.191.4 crore ($28 million) to institutional investors from its anchor book, ahead of its initial public offering (IPO) that opens on Tuesday.
The anchor book is that portion of the IPO, which bankers can allot to institutional investors on a discretionary basis. Anchor book subscription opens one day prior to the launch of an IPO. Anchor book subscription acts as an indicator of institutional investor interest in an IPO.
Dr Lal Pathlabs raised Rs.191.4 crore through the anchor allocation, by selling shares to institutional investors at Rs.550 per share, the upper end of its IPO price band of Rs.540-550 per share.
Foreign institutional investors including <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=Fidelity">Fidelity</a>, <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=T+Rowe+Price">T Rowe Price</a>, <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=JP+Morgan">JP Morgan</a>, <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=Morgan+Stanley">Morgan Stanley</a> and <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=Merrill+Lynch">Merrill Lynch</a> bought to the shares. Domestic institutions which subscribed to the anchor book include mutual funds from asset managers such as <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=Birla+Sunlife">Birla Sunlife</a>, <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=SBI">SBI</a>, <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=Kotak+Mahindra">Kotak Mahindra</a> and <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=ICICI+Prudential">ICICI Prudential</a>.
The diagnostics firm, which is backed by private equity funds <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=Westbridge+Capital+Partners">Westbridge Capital Partners</a> and <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=TA+Associates">TA Associates</a>, is looking to raise up to Rs.632 crore through its IPO. The offer will close on 10 December.
Dr. Lal is the first of several healthcare firms expected to hit the primary market in the next few months.
Pharmaceuticals firm <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=Alkem">Alkem Laboratories Ltd</a> is also launching its IPO on 8 December. Dr. Devi Shetty-led <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=Narayana+Hrudyalaya">Narayana Hrudyalaya</a> is also expected to launch its IPO in December. Oncology firm <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=HealthCare+Global+Enterprises">HealthCare Global Enterprises</a> Ltd too has received Sebi approval for an IPO expected to be launched in January.
Other firms such as <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=Aster+DM+Healthcare">Aster DM Healthcare</a> and diagnostics firm <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=Thyrocare">Thyrocare</a> Technologies Ltd are also planning to tap the capital market.
Dr Lal Pathlabs’ IPO is an offer for sale and the firm is not raising any primary capital for its business. Westbridge and TA Associates will be selling part of their stakes through the IPO.
The firm, which was founded in 1949, reported a revenue of Rs.662.5 crore in 2014-15 and a profit of Rs.95 crore. The company’s revenue has grown at a compounded annual growth rate of 20.7% over the last three financial years.
The diagnostics chain has a network of 172 laboratories and 1,554 collection centres across the country.
Kotak Mahindra Capital and Citigroup Global Markets India are managing the IPO for the firm.
So far this year, 18 firms have raised around Rs.11,000 crore through the IPO route, according to data from Prime Database, a primary market data tracker.
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<h4>This article was first published on <a href="http://www.livemint.com/Companies/D0eo2bXjMGyNlXwQYfsYvO/Reliance-Infrastructure-in-talks-to-sell-cement-roads-busin.html" target="_blank">Livemint</a></h4>

Dr Lal Pathlabs Ltd on Monday sold shares worth Rs.191.4 crore to institutional investors from its anchor book, ahead of IPO that opens on Tuesday

India: Dr Lal Pathlabs raises $28m from anchor investors ahead of IPO

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India: Dr Lal Pathlabs raises $28m from anchor investors ahead of IPO

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