The Board of Directors approved the transaction at its meeting on Thursday. The acquisition will be made from the existing shareholders of SN Gene and will result in the company becoming a subsidiary of Dr Lal PathLabs.
The transaction is expected to be completed by November 30, 2026.
SN Gene operates in the diagnostics-genomics industry and provides genomics diagnostic services. The company was incorporated on December 16, 2013, in Gujarat. SN Gene recorded a turnover of ₹57.96 crore in FY26, compared with ₹53.36 crore in FY25 and ₹43.27 crore in FY24.
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Dr Lal PathLabs said the objective of the acquisition is to strengthen its expertise in genomics and broaden its portfolio of advanced diagnostic services. The acquisition will be funded through cash consideration. Dr Lal PathLabs will acquire a 70% stake from SN Gene’s existing shareholders.
The proposed acquisition does not fall within the ambit of related party transactions. The promoter, promoter group and group companies do not have any interest in the entity being acquired, the company said. No governmental or regulatory approvals are applicable for the acquisition.
Back in May 2026, Dr Lal PathLabs said it expects revenue growth of 13-15% in the financial year ending March 2027 (FY27), with volumes likely to remain the main driver, according to CEO Shankha Banerjee. The earnings before interest, taxes, depreciation and amortisation (EBITDA) margin for FY27 is expected to be 27-28%.
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Banerjee said there are no plans to raise prices in the near term, even as the company keeps a close watch on cost pressures and external factors. Growth is expected to come from a steady rise in patient and sample volumes.
Dr Lal PathLabs reported volume growth of 5.2% in FY26, while revenue growth for the full year was around 12.2%, supported by a mix of volume gains and improvements in product and geographic mix.
Banerjee indicated that this mix benefit is expected to continue, helping bridge the gap between modest volume growth and the overall revenue guidance. The diagnostic chain’s revenue grew 16.6% to ₹702.7 crore in the March quarter, but net profit declined 15.2% year-on-year to ₹131.3 crore.
Shares of Dr Lal PathLabs Ltd ended at ₹1,958.80, up by ₹36.20, or 1.88%, on the BSE.
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First Published: Sept 24, 2026 5:45 PM IST