M&B Engineering Ltd. is going to launch its initial public offering (IPO) on July 30. The company plans to raise Rs 650 crore from the primary market.
M&B Engineering Ltd. provides solutions for pre-engineered buildings (PEBs) and self-supported roofing. In the build-up to its launch, the grey market premium (GMP) indicated a premium of almost 9% for the issue.
Those who want to bid for shares in the IPO can check the following details before making an investment call.
M&B Engineering IPO GMP Today
As per InvestorGain, the GMP for the M&B Engineering IPO stood at Rs 34 at 1 p.m. on July 29. This suggests a listing price of Rs 419 per share. The latest GMP signals a potential listing gain of 8.83% over the upper limit of the IPO price band.
Note: GMP does not represent official data and is based on speculation.
Also Read: Sri Lotus Developers IPO To Open On July 30 — Latest GMP Signals Nearly 27% Listing Gain
M&B Engineering IPO: Key Details
The M&B Engineering IPO is a book-building issue of Rs 650 crore. It comprises a fresh issue of 71 lakh shares, worth Rs 275 crore, and an offer-for-sale (OFS) of 97 lakh shares, worth Rs 375 crore.
Retail investors looking to take part in the IPO must apply for a minimum of a single lot size, which consists of 38 shares. The minimum application size for retail investors is Rs 13,908. Small Non-Institutional Investors need to apply for at least 14 lots, translating to an investment of Rs 2,04,820. Meanwhile, Big Non-Institutional Investors are required to bid for at least 69 lots, bringing the minimum investment to Rs 10,09,470.
The price band for the IPO is set between Rs 366 and Rs 385 per share.
The IPO will be open for subscription from July 30 to Aug. 1. Share allotment is expected to be completed by Aug. 4. On Aug. 5, successful applicants will have their shares credited to their Demat accounts, while refunds for the non-allottees will also be processed on the same day.
Shares of M&B Engineering will be listed on the BSE and NSE on Aug. 6.
The company has reserved 75% of the net issue for the Qualified Institutional Buyers (QIBs). Retail investors will be allocated a maximum of 10% of the net offer and the remaining 15% will be reserved for the Non-Institutional Investors (NIIs).
Equirus Capital Pvt. is the book-running lead manager of the M&B Engineering IPO. MUFG Intime India Pvt. is the registrar for the issue.
Use Of Proceeds
The company has proposed to use proceeds from the IPO to fund capital expenditure, invest in software upgrades and clear debts. A portion of the funds will also be used for general corporate purposes.
About M&B Engineering
The company specialises in solutions for pre-engineered buildings (PEBs) and self-supported roofing. It has completed over 9,400 projects as of Dec. 2024.
Financials
The company reported a 68.9% year-on-year (YoY) increase in profit after tax (PAT) at Rs 77.05 crore in FY25 from Rs 45.63 crore in FY24. Revenue from operations rose 24.3% YoY to Rs 988.55 crore in FY25 from Rs 795.1 crore in FY24. Total borrowings fell 9.1% YoY to Rs 186.13 crore in FY25 from Rs 204.84 crore in FY24.
Disclaimer: Investments in initial public offerings are subject to market risks. Please consult with financial advisors and read the red herring prospectus thoroughly before placing bids.
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