Neuberg Diagnostics Acquires Majority Stake in NM Medical as It Accelerates Expansion Ahead Of IPO
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Formerly known as Rahu Health and Medical Tourism Pvt. Ltd., NM Medical operates 18 centres, including 12 in Mumbai and two each in Pune and Bengaluru.
Neuberg Diagnostics, backed by healthcare entrepreneur GSK Velu, has acquired a majority stake in Mumbai-based NM Medical, a diagnostics chain operating in western India, as it looks to accelerate growth ahead of a planned initial public offering.
Neuberg has acquired a majority stake in NM Medical, which provides radiology, cardiology and pathology-related checkups, as reported by VCCircle. The company is further exploring the acquisition of a New Delhi-headquartered diagnostics company.
Neuberg and MedGenome were among several potential bidders for NM Medical, operated by NM Diagnostics in December 2024.
Formerly known as Rahu Health and Medical Tourism Pvt. Ltd., NM Medical operates 18 centres, including 12 in Mumbai and two each in Pune and Bengaluru.
The acquisition comes shortly after Neuberg had emerged as the frontrunner to acquire a majority stake in Delhi-headquartered Mahajan Imaging & Labs.
Earlier this year, Neuberg raised Rs 940 crore from Kotak Strategic Situations India Fund II. The capital was intended to support the company's inorganic expansion strategy and help scale acquired businesses under the Neuberg platform.
Founded by GSK Velu in 2017, Neuberg operates a network of more than 250 laboratories across as many cities. The company offers pathology services, genetic testing and preventive health packages, and has said it holds leadership positions in markets such as Gujarat and Karnataka, as well as in newborn screening and reproductive genomic testing.
Velu launched Neuberg two years after exiting Metropolis Healthcare by selling his stake to Carlyle. Since its inception, Neuberg has expanded through acquisitions and partnerships. In 2017, it acquired Anand Diagnostic Laboratory in Bengaluru, Supratech Micropath in Gujarat, Ehrlich Laboratory in Tamil Nadu, Global Labs in South Africa and Minerva Labs in Dubai. In 2023, it entered into a joint venture with Pulse Diagnostics to strengthen its presence in eastern India.
During the first half of FY26, Neuberg acquired or entered into joint ventures with three diagnostics chains to expand its footprint in southern and western India and strengthen its radiology-focused B2B business. The total cash outlay for these transactions is learnt to be Rs 455.7 crore.
The acquisition comes amid increased dealmaking activity in the diagnostics sector, driven by rising awareness of preventive healthcare and increasing income levels. Recent developments include the Burman family's exploration of a potential divestment of Oncquest Laboratories Ltd., Redcliffe Labs' acquisition of a diagnostic centre in Ajmer, Aarthi Scans Pvt. Ltd.'s move to onboard ICICI Venture as an investor, Sterling Accuris Wellness Pvt. Ltd.'s plans to raise fresh equity capital, House of Diagnostics Healthcare Pvt. Ltd.'s funding from 360 One Asset, and Vixar's acquisition of a majority stake in Bengaluru-based dAlgnostiX Services Pvt. Ltd.
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