Price Band fixed at Rs366 to Rs385 per equity share of face value of Rs10 each; The Floor Price is 36.60 times the face value of Equity Shares and the Cap Price is 38.50 times the face value of the Equity Shares
FinTech BizNews Service
Mumbai, July 25, 2025: M & B Engineering Ltd (“MBEL”) shall open its Bid/Offer in relation to its initial public offer of Equity Shares on Wednesday, July 30, 2025.
The Anchor Investor Bidding Date shall be Tuesday, July 29, 2025. The Bid/Offer will open on Wednesday, July 30, 2025 for subscription and will close on Friday, August 01, 2025. Bids can be made for a minimum of 38 Equity Shares and in multiples of 38 Equity Shares thereafter (“Bid Details”).
The Price Band of the Offer has been fixed at Rs366 to Rs385 per Equity Share (“Offer Price”).
The company is one of India’s leading Pre-Engineered Buildings (“PEBs”) and Self-Supported Roofing provider. As of Fiscal 2024, M&B is the largest player in terms of revenue for the manufacturing and installation of self-supported steel roofing solutions in India with a market share of 75%. Some of their notable customers include *Adani Green, Adani Ports, Adani Logistics, Tata Advanced Systems, Balaji Wafers, Intas Pharmaceuticals, Everest Food, Haldiram Foods, Shree Ram Industries and more*.
The total Offer size of equity shares with face value Rs 10 each aggregating up to Rs 6,500 million [Rs 650 crore] comprises of fresh issue of equity shares aggregating up to Rs 2,750 million [Rs 275 crore] (“Fresh Issue”) and Offer for sale of equity shares aggregating up to Rs 3,750 million [Rs375 crore] (“Offer For Sale”) (“Total Offer Size”).
The Company proposes to utilize the net proceeds from the Offer towards the following objects –(i) Funding the capital expenditure requirements for the purchase of equipment and machinery, building works, solar rooftop grid and transport vehicles at Company’s manufacturing facilities estimated to Rs1,305.79 million [Rs130.58 crore]; (ii) Investment in information technology software upgradation by the Company estimated to Rs52.00 million [ Rs5.20 crore]; (iii) Re-payment or pre-payment of term loans, in full or in part, of certain borrowings availed by the Company estimated to Rs587.50 million [ Rs58.75 crore]; and (iv) General corporate purposes.
The Offer for Sale comprises of such number of equity shares aggregating up to Rs1,533.50 million [Rs153.35 crore] by Girishbhai Manibhai Patel; aggregating up to Rs 1,302.50 million [Rs130.25 crore] by Chirag Hasmukhbhai Patel; aggregating up to Rs187.50 million [Rs18.75 crore] by Vipinbhai Kantilal Patel; aggregating up to Rs385.00 million [Rs38.50 crore] by Birva Chirag Patel; aggregating up to Rs187.50 million [Rs18.75 crore] by Aditya Vipinbhai Patel (“Promoter Selling Shareholders”) and aggregating up to Rs154.00 million [Rs15.40 crore] by Umaben Girishbhai Patel (“Promoter Group Selling Shareholder”).
The Equity Shares are being offered through the red herring prospectus of the Company dated July 24, 2025 (“Red Herring Prospectus” or “RHP”) filed with Registrar of Companies, Gujarat at Ahmedabad (“RoC”) and the Equity Shares to be offered through the Red Herring Prospectus are proposed to be listed on the Stock Exchanges being BSE Limited (“BSE”) and National Stock Exchange of India Limited (“NSE”) together with BSE, the “Stock Exchanges”). For the purposes of the Offer, NSE is the Designated Stock Exchange.
The Offer is being made in terms of Rule 19(2)(b) of the SCRR, read with Regulation 31 of the SEBI ICDR Regulations. The Offer is being made in accordance with Regulation 6(2) of the SEBI ICDR Regulations, through the Book Building Process wherein not less than 75% of the Net Offer shall be available for allocation on a proportionate basis to Qualified Institutional Buyers (“QIBs”) (such portion referred to as “QIB Portion”), provided that the Company in consultation with the BRLMs, may allocate up to 60% of the QIB Portion to Anchor Investors on a discretionary basis in accordance with the SEBI ICDR Regulations (the “Anchor Investor Portion”), out of which one-third shall be reserved for domestic Mutual Funds only, subject to valid Bids being received from domestic Mutual Funds at or above the price at which allocation is made to Anchor Investors (“Anchor Investor Allocation Price”), in accordance with the SEBI ICDR Regulations. In the event of under-subscription or non-allocation in the Anchor Investor Portion, the balance Equity Shares shall be added to the QIB Portion (excluding the Anchor Investor Portion) (the “Net QIB Portion”).
Further, 5% of the Net QIB Portion shall be available for allocation on a proportionate basis to Mutual Funds only, and the remainder of the Net QIB Portion shall be available for allocation on a proportionate basis to all QIB Bidders (other than Anchor Investors), including Mutual Funds, subject to valid Bids being received at or above the Offer Price. However, if the aggregate demand from Mutual Funds is less than 5% of the Net QIB Portion, the balance Equity Shares available for allocation in the Mutual Fund Portion will be added to the remaining Net QIB Portion for proportionate allocation to all QIBs.
Further, not more than 15% of the Net Offer shall be available for allocation on a proportionate basis to Non-Institutional Investors out of which (a) one-third of such portion shall be reserved for applicants with application size of more than Rs200,000 and up to Rs1,000,000 ; and (b) two third of such portion shall be reserved for applicants with application size of more than Rs1,000,000, provided that the unsubscribed portion in either of such sub-categories may be allocated to applicants in the other sub-category of Non-Institutional Investors and not more than 10% of the Net Offer shall be available for allocation to Retail Individual Investors in accordance with the SEBI ICDR Regulations, subject to valid Bids being received at or above the Offer Price.
Further, Equity Shares will be allotted on a proportionate basis to Eligible Employees applying under the Employee Reservation Portion, subject to valid Bids received from them at or above the Offer Price (net of Employee Discount, if any). All potential Bidders (except Anchor Investors) are required to mandatorily use the Application Supported by Blocked Amount (“ASBA”) process providing details of their respective ASBA accounts, and UPI ID in case of UPI Bidders, if applicable, in which the corresponding Bid Amounts will be blocked by the SCSBs or by the Sponsor Bank(s) under the UPI Mechanism, as applicable, to the extent of the respective Bid Amounts. Anchor Investors are not permitted to participate in the Offer through the ASBA process.
Equirus Capital Private Limited and DAM Capital Advisors Limited are the Book Running Lead Managers to the offer. (“BRLMs”)
