India's Dr Lal PathLabs rises; analysts back SN Genelab deal

By Reuters News

** Shares of Dr Lal PathLabs DLPA.NS rise as much as 1.3% to 1,986.80 rupees

** Diagnostics co will acquire a 70% stake in genomics-focused SN Genelab for 1.68 billion rupees ($17.52 million), plus up to 315 million rupees in performance-linked payouts

** Emkay raises PT to 2,100 rupees from 2,000 rupees, maintains "Buy"

** Emkay sees acquisition expanding DLPA's advanced genomics and molecular pathology portfolio, while offering cross-selling opportunities and geographic diversification

** Nomura ("Buy", PT: 2,150 rupees) sees marginal near-term earnings-per-share dilution from acquisition, but significant long-term upside as SN Genelab's testing capabilities scale through Dr Lal's network

** Twenty-five analysts have a "buy" rating; median PT is 2,025 rupees -- data compiled by LSEG

** YTD, DLPA up 30%


($1 = 95.9100 Indian rupees)

Capital.com is an execution-only brokerage platform and the content provided on the Capital.com website is intended for informational purposes only and should not be regarded as an offer to sell or a solicitation of an offer to buy the products or securities to which it applies. No representation or warranty is given as to the accuracy or completeness of the information provided.

The information provided does not constitute investment advice nor take into account the individual financial circumstances or objectives of any investor. Any information that may be provided relating to past performance is not a reliable indicator of future results or performance.

To the extent permitted by law, in no event shall Capital.com (or any affiliate or employee) have any liability for any loss arising from the use of the information provided. Any person acting on the information does so entirely at their own risk.

Any information which could be construed as “investment research” has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication.