M&B Engineering Limited has resubmitted DRHP to raise funds via IPO, however, this IPO is considered a fresh issue worth Rs 275 Cr and OFS Rs 375 by promoters. In, this OFS promoters would sell their shares.
In this company, there are cautious promoters such as Aditya Patel, Chirag Hasmukhbhai Patel, Girishbhai Patel, Birva Chirag Patel, Vipinbhai Patel, Leenaben Vipinbhai Patel,umaben Girishbhai patel. Moreover, they sell their sales in OFS(Offer for sale).
Moreover, presently promoters hold a 100 percent stake in the company.
M&B Engineering company plans for Pre-IPO Placement to Rs 55 crore, if it is completed successfully, then the fresh issue size might be reduced.
Equirus Capital Private Limited, and DAM Capital Advisors Limited are the lead managers, MUFG intime India Pvt Ltd is assigned as registrar for this IPO.
Additionally, the total amount would have already been calculated as 63.9 crores would used to purchase necessary appliances, and machinery facilities for the company.
The company will use 60 crores to pay off its debt, 110 crores for working capital needs, and the remaining funds will be used for general corporate purposes.
M&B Engineering is one of the top companies in the country for Pre-Engineered Buildings (PEB) and Self-Supported Roofing. They have a capacity of 103,800 tons per year for PEB and can produce 1.8 million square meters of Self-Supported Roofing each year.
Around 8700 projects till June 2024 in diverse sectors such as general engineering and manufacturing, food and beverages, warehousing and logistics, power, textiles, and railways.
In fiscal 2024 net profit grew sharply by 38.7 percent to Rs 45.6 crore in contrast to the previous year despite negative reviews, driven by strong operating performance with lower input cost and other expenses.
M&B Engineering IPO Prospectus:
| DRHP Draft Prospectus: | Click Here |
| RHP Draft Prospectus: | To be Updated Soon |
M&B Engineering Company Financial Report
Amount ₹ in Crores
| Period Ended | Revenue | Expense | Profit After Tax |
| 2022 | ₹698.92 | ₹675.94 | ₹16.31 |
| 2023 | ₹889.00 | ₹843.52 | ₹32.89 |
| 2024 | ₹808.26 | ₹747.38 | ₹45.63 |
M&B Engineering IPO Valuation – FY2024
M&B Engineering IPO valuations detail like Earning Per Share (EPS), Price/Earning P/E Ratio, Return on Net Worth (RoNW), and Net Asset Value (NAV) details.
| Earning Per Share (EPS): | ₹9.17 (Basic) |
| Price/Earning P/E Ratio: | N/A |
| Return on Net Worth (RoNW): | 19.68% |
| Net Asset Value (NAV): | ₹46.61 |
Peer Group Comparison
| Company | EPS | PE Ratio | RoNW % | NAV | Income |
| Pennar Industries Limited | 7.29 | 23.27 | 11.22% | 64.95 | 3130.57 Cr. |
| Bansal Roofing Products Limited | 2.69 | 34.73 | 12.84% | 20.94 | 105.58 Cr. |
| HIL Limited | 46.15 | 63.12 | 2.78% | 1,661.39 | 3374.97 Cr. |
| Everest Industries Limited | 11.42 | 101.11 | 3.01% | 378.37 | 1575.45 Cr. |
| Interarch Building Products Limited | 58.68 | 21.04 | 19.40% | 308.43 | 1293.30 Cr. |
Objects of the Issue
- Funding the capital expenditure requirements for the purchase of equipment and machinery at our Manufacturing Facilities;
- Re-payment or pre-payment, in full or in part, of certain borrowings availed by our Company;
- Funding the working capital requirements of our Company; and
- General corporate purposes
IPO Lead Managers aka Merchant Bankers
- Equirus Capital Private Limited
- DAM Capital Advisors Limited
