- Bid /Offer will close on Friday, August 1, 2025
- The Anchor Investor Bidding Date shall be Tuesday, July 29, 2025;
- Bids can be made for a minimum of 38 Equity Shares and in multiples thereof
NE BUSINESS BUREAU
AHMEDABAD, JULY 28
Gujarat-based turnkey PEB and roofing solutions provider M&B Engineering Limited on Monday announced its initial public offering (IPO) worth ₹650 crore will be opening for subscription on July 30 and closing on August 1. The anchor book for institutional investors will open on Tuesday, July 29.
With a price band set between ₹366 and ₹385, the IPO comprises a fresh issue of equity shares amounting to ₹275 crore and an offer-for-sale (OFS) by promoters worth ₹375 crore.
Bidders have the opportunity to bid for a minimum of 38 shares, with the option to increase in multiples thereof.
M&B Engineering operates two strategically located manufacturing facilities—one in Sanand, Gujarat (operational since 2008), and the other in Cheyyar, Thiruvannamalai District, Tamil Nadu (started in 2024). Together, they offer a combined annual capacity of 103,800 MTPA for PEB production. The company has also expanded globally by exporting PEBs and structural steel components to 22 countries since FY 2010, including the USA, Brazil, South Africa, Qatar, Sri Lanka, Morocco, Nigeria, Kenya, and Seychelles.
Tamil Nadu Government’s pro-industry policies make it ideal destination
Answering a query on choosing Cheyyar in Tamil Nadu for setting up its second plant, Malay Patel, Joint Managing Director of the company said, “Tamil Nadu Government’s pro-industry policies, conducive environment along with logistics have made us to handpick Tamil Nadu in South India over other states.”
Financially, the company recorded a net profit of ₹ 77 crore for the year ending March 2025, marking ₹ 68.8% increase from the previous year. During the same period, revenue rose by 24.3% to reach ₹ 988.6 crore, demonstrating strong growth. The installed capacity for PEB is at 103,800 metric tonnes per annum, while self-supported roofing solutions boast a capacity of 1.8 million square metres annually.
A major portion of the proceeds, approximately ₹130.58 crores, will be used to fund capital expenditure requirements. The company will invest ₹5.20 crores in the upgradation of its IT software systems. It plans to allocate ₹58.75 crores from the IPO proceeds for the repayment or pre-payment, in full or in part, of existing term loans. This will help improve the company’s debt profile, reduce interest outgo, and enhance financial flexibility. The remaining funds will be used for general corporate purposes.
The company’s operations span multiple sectors, including engineering, manufacturing, food and beverages, warehousing, and textiles. With numerous projects completed under its Phenix and Proflex divisions, the company stands as a formidable competitor with its peers.
It has executed over 9,500 projects till March 2025 under its Phenix and Proflex divisions.
As of June 30, 2025, M&B Engineering reported an order book of ₹842.84 crore, indicating robust demand.
As the demand for infrastructure solutions is on the rise in the nation, positioning M&B Engineering as a promising investment option given its strong financials and market position.
The company has reserved 75 per cent of the offer size for Qualified Institutional Buyers (QIBs), 15 per cent for Non-Institutional Investors (NIIs), and 10 per cent for retail investors.
The shares wil be listed on both BSE and NSE on Wednesday, August 6. 2025.
Equirus Capital and DAM Capital Advisors are the lead managers.
