M&B Engineering Ltd Files Rs 653 Crore IPO Draft with SEBI

M&B Engineering Ltd has submitted draft papers to SEBI for an initial public offering (IPO) to raise Rs 653 crore. The IPO includes a fresh issue of shares worth Rs 325 crore and an offer for sale by promoters worth Rs 328 crore. Funds will be used for purchasing equipment, debt repayment, working capital, and other corporate purposes.

M&B Engineering Ltd on Wednesday filed draft papers with capital markets regulator SEBI to raise Rs 653 crore through an initial public offering (IPO).

The IPO includes a fresh issue of equity shares valued at Rs 325 crore and a promoter-led offer for sale (OFS) worth Rs 328 crore, as detailed in the draft red herring prospectus (DRHP).

Currently, promoters own 100 percent of the company's shares.

According to the DRHP, Rs 63.9 crore from the fresh issue will be allocated for purchasing equipment and machinery for the company’s manufacturing facilities. Additionally, Rs 60 crore will be used for debt repayment, Rs 110 crore for working capital requirements, with the remaining funds directed towards general corporate purposes.

The Gujarat-based firm had total borrowings amounting to Rs 204.84 crore as of March 2024.

M&B Engineering is a leading provider of Pre-Engineered Buildings (PEB) and Self-Supported Roofing in India, boasting an installed capacity of 103,800 MTPA for PEB and 1,800,000 square meters per annum for Self-Supported Roofing.

Equirus Capital Private Ltd and DAM Capital Advisors Ltd are serving as the book-running lead managers for the issue.