Can M&B Engineering's IPO deliver strong returns for investors?
fabricated steel structures
(
pre-engineered buildings
or PEB) and self-supported roofings, plans to raise ₹275 crore through fresh issue to fund capital expenditure and debt repayment and ₹375 crore through an offer for sale. The promoter stake will fall to 70.5% after the
IPO
from 100%. Its Sanand facility in Gujarat is the only PEB manufacturing facility in India with a certification from the American Institute of Steel Construction (AISC).
The company has undertaken
capacity expansion
to cater to rising demand. It operates at a higher margin compared with peers. Given these factors, investors may consider the IPO for the long-term. Incorporated in 1981, Ahmedabad-headquartered M&B provides PEB and roofing solutions to customers across various sectors including engineering, manufacturing, food and beverages, warehousing, logistics, power, textiles, and railways.
Explore courses from Top Institutes in
Please select course:
Select a Course Category
Data Science
Product Management
MCA
Design Thinking
Management
Healthcare
Artificial Intelligence
MBA
Project Management
Operations Management
Technology
PGDM
CXO
Data Analytics
Leadership
healthcare
Degree
Data Science
others
Finance
Others
Digital Marketing
Public Policy
Cybersecurity
Skills you'll gain:
Duration:
10 Months
E&ICT Academy, Indian Institute of Technology Guwahati
CERT-IITG Prof Cert in DS & BA with GenAI India
Starts on
undefined
Get Details
Skills you'll gain:
Duration:
10 Months
IIM Kozhikode
CERT-IIMK DABS India
Starts on
undefined
Get Details
Skills you'll gain:
Duration:
30 Weeks
IIM Kozhikode
SEPO - IIMK-AI for Senior Executives India
Starts on
undefined
Get Details
Skills you'll gain:
Duration:
11 Months
IIT Madras
CERT-IITM Advanced Cert Prog in AI and ML India
Starts on
undefined
Get Details
Skills you'll gain:
Duration:
11 Months
E&ICT Academy, Indian Institute of Technology Guwahati
CERT-IITG Postgraduate Cert in AI and ML India
Starts on
undefined
Get Details
The company operates two manufacturing facilities each in Sanand and Cheyyar, Tamil Nadu, with a combined PEB capacity of 103,800 MTPA and 1,800,000 square metres per annum for self-supported roofing solutions as on March 2025. A part of the IPO proceeds will be used to increase the capacity at Sanand by 28% and at Cheyyar by 142% by FY28.
Agencies
Exports formed nearly 7% of the revenue in FY25. Top five customer groups contribute about 43% of its revenue. The company had an order book of ₹842.84 crore as of June 2025. Revenue from operations and net profit grew 6% and 53% annually to ₹988.6 crore and ₹77 crore, respectively between FY23 and FY25. Ebitda margin expanded to 12.8% from 7.5% during the period-margin for peers is between 2% and 10%.
Debt-equity ratio is expected to fall to 0.1 after the IPO from 0.3. For peers, it is between 0.1 and 0.6. In FY25, 57% of the revenues came from repeat customers. Working capital days increased to 106 in FY25 from 60 in FY23. Considering the post-IPO equity and net profit for FY25, the company demands a P/E multiple of up to 29 vs P/Es between 30 and 34 for peers including
Pennar Industries
and Interarch Building Products.
Live Events
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
an hour ago
- Time of India
After two-month slide, auto industry steadies for festive jumpstart
Domestic passenger vehicle sales increased about 1% in July, marking a slight recovery after two consecutive months of decline, amid persistently sluggish consumer demand. Companies are cautiously optimistic that sales will accelerate further during the coming festive season, starting with Onam later this month. As many as 348,000 cars, sedans, and utility vehicles were dispatched from factories to dealerships last month, compared with 344,000 vehicles in July 2024, according to industry estimates. Retail sales were flat at about 328,000 vehicles last month. At the country's largest carmaker Maruti Suzuki , wholesale volumes were largely unchanged at 137,776 vehicles last month. Partho Banerjee, senior executive officer (marketing and sales) said while Maruti has seen an uptick in bookings ahead of the festive season, starting with Onam in Kerala, conversions are slow. Explore courses from Top Institutes in Please select course: Select a Course Category Data Science Degree Product Management Digital Marketing CXO MCA Management Design Thinking Healthcare Data Science others Data Analytics Artificial Intelligence Leadership MBA Cybersecurity Others Technology healthcare Operations Management Public Policy PGDM Finance Project Management Skills you'll gain: Duration: 30 Weeks IIM Kozhikode SEPO - IIMK-AI for Senior Executives India Starts on undefined Get Details Skills you'll gain: Duration: 10 Months IIM Kozhikode CERT-IIMK DABS India Starts on undefined Get Details Skills you'll gain: Duration: 11 Months IIT Madras CERT-IITM Advanced Cert Prog in AI and ML India Starts on undefined Get Details Skills you'll gain: Duration: 11 Months E&ICT Academy, Indian Institute of Technology Guwahati CERT-IITG Postgraduate Cert in AI and ML India Starts on undefined Get Details Skills you'll gain: Duration: 10 Months E&ICT Academy, Indian Institute of Technology Guwahati CERT-IITG Prof Cert in DS & BA with GenAI India Starts on undefined Get Details 'Growth in rural markets which stood at about 10% last year, has now come down to 2-3%. In urban areas, with layoffs in the IT sector, buyers are cautious,' Banerjee said, adding, 'We have, however, seen an increase in bookings which is a positive sign.' 'With the advent of the festive season, as things stabilise, we expect the demand momentum to pick up,' said Banerjee. Maruti Suzuki has so far recorded a 10% increase in bookings in Kerala. Korean rival Hyundai Motor India too saw sales dip by 10% to 43,973 vehicles in July. Tarun Garg, chief operating officer, said, 'While the overall auto industry has seen some softness in recent months, we remain optimistic with the onset of the festive season and are fully geared up with robust supply and product offerings.'
Time of India
5 hours ago
- Time of India
Bihar Assembly Elections: Seemanchal, close to Bangladesh, sees significant voter deletion
Bihar's Seemanchal region which accommodates four districts - Araria, Kishanganj, Purnia and Katihar - has witnessed a significant voter deletion in the draft electoral roll. Since the region is close to Bangladesh and shares boundaries with Nepal, these four districts, which have a high Muslim population, are known for infiltration. Araria saw a deletion of 1,58,072 voters, Kishanganj 1,45,668, Purnia 2,73,920 and Katihar 1,84,254 in the draft list. Now after the deletion, the number of voters in Araria stands at 19,24,414; Kishanganj 10,86,242; Purnia 19,94,511 and Katihar 20,44,809. The Seemanchal region, which has 24 assembly seats, is considered a tough battlefield for both main political players - ruling NDA and main Opposition INDIA bloc (previously known as Mahagathbandhan) because of polarisation of voters on communal lines during the elections. Explore courses from Top Institutes in Please select course: Select a Course Category Data Science Data Science MCA Cybersecurity Project Management CXO Healthcare Management Operations Management Leadership Product Management MBA Artificial Intelligence Public Policy Degree Design Thinking Others Digital Marketing healthcare Finance Technology others PGDM Data Analytics Skills you'll gain: Duration: 10 Months IIM Kozhikode CERT-IIMK DABS India Starts on undefined Get Details Skills you'll gain: Duration: 30 Weeks IIM Kozhikode SEPO - IIMK-AI for Senior Executives India Starts on undefined Get Details Skills you'll gain: Duration: 11 Months IIT Madras CERT-IITM Advanced Cert Prog in AI and ML India Starts on undefined Get Details Skills you'll gain: Duration: 10 Months E&ICT Academy, Indian Institute of Technology Guwahati CERT-IITG Prof Cert in DS & BA with GenAI India Starts on undefined Get Details Skills you'll gain: Duration: 11 Months E&ICT Academy, Indian Institute of Technology Guwahati CERT-IITG Postgraduate Cert in AI and ML India Starts on undefined Get Details In most of the 24 constituencies, the candidates faced close contests in the previous elections. In 2020 assembly polls, AIMIM had made its presence felt in this region by bagging five seats. The presence of AIMIM candidates in different seats of this region was a major source of trouble for the Mahagtahbandhan then. Although a clear political picture of the Seemanchal region will emerge after the final publication of electors' list, both the NDA and INDIA bloc are set to swing into action to ensure proper verification of the draft list of electors in this region.
Time of India
6 hours ago
- Time of India
Trump-Modi talks key to trade deal: Former Asst USTR
New Delhi: India-US talks on forging a bilateral trade deal may require a reset through a conversation at the highest level, said Mark Linscott, senior advisor, US-India Strategic Partnership Forum and a former Assistant US Trade Representative. He said there is a strong desire on the US side to make progress and conclude a short-term agreement, followed by a longer-term bilateral trade deal. Explore courses from Top Institutes in Please select course: Select a Course Category Leadership Healthcare Operations Management Artificial Intelligence Others Technology PGDM Product Management Data Science Finance healthcare Management Design Thinking MBA Data Analytics Digital Marketing MCA CXO Degree Cybersecurity Project Management Public Policy Data Science others Skills you'll gain: Opportunities & Outlining Plans to use AI & ML Applying Data-Driven Business Innovation Best Practices Changing Culture to Integrate AI-Enabled Technologies Ethics, Privacy and Regulations in AI & ML Duration: 20 Weeks Indian School of Business ISB Leadership in AI Starts on May 14, 2024 Get Details Skills you'll gain: Duration: 12 Weeks IIM Kozhikode CERT-IIMK EPIS Async India Starts on undefined Get Details Skills you'll gain: Duration: 10 Months IIM Indore Executive Programme in Business Management Starts on undefined Get Details Skills you'll gain: Duration: 18 Weeks 109820388 Strategic Marketing for Leaders: Leveraging AI for Growth Starts on undefined Get Details Skills you'll gain: Financial Accounting & Analysis Financial Instruments & Markets Corporate Finance & Valuation Investment Management & Banking Duration: 12 Months IIM Kozhikode IIMK Professional Certificate in Financial Analysis and Financial Management Starts on Mar 30, 2024 Get Details Skills you'll gain: Critical Thinking & Decision-Making Skills Power of Emerging Technologies Innovation and Drive Organizational Change Fostering a Culture of Innovation Duration: 9 Months MIT xPRO MIT Technology Leadership and Innovation Starts on May 14, 2024 Get Details Skills you'll gain: Duration: 10 Months IIM Kozhikode CERT-IIMK-Women Leadership Programme INDIA Starts on undefined Get Details Skills you'll gain: Duration: 12 Months IIM Kozhikode SEPO - IIMK CEO Programme India Starts on undefined Get Details Skills you'll gain: Duration: 11 Months IIM Lucknow CERT-IIML SLP India Starts on undefined Get Details Skills you'll gain: Duration: 22 Weeks Indian School of Business SEPO - ISB Venture Capital & Private Equity India Starts on undefined Get Details Skills you'll gain: Duration: 12 Months IIM Kozhikode Advanced Strategic Management Programme Starts on undefined Get Details Skills you'll gain: Duration: 12 Months IIM Kozhikode Senior Management Programme Starts on undefined Get Details Skills you'll gain: Strategic Thinking & Planning Competitive Advantage & Market Positioning Strategic Leadership & Decision-Making Change Management & Organizational Transformation Duration: 1 Year IIM Kozhikode IIMK Advanced Strategic Management Programme Starts on Mar 30, 2024 Get Details "At this point, I think a conversation between the President (Donald Trump) and Prime Minister (Narendra Modi) can clear the air and possibly even set the terms for a deal," Linscott, who led trade negotiations under the previous Trump regime, told ET. Linscott, however, said this may require a cooling-off period once new tariffs are in place, followed by a phone call between President Trump and Prime Minister Modi. "I'm a strong believer in never saying never, particularly when it involves the United States and India. We've seen over and over again how Trump can reverse course on a dime," he pointed out. Live Events "However, the next few days and weeks will be key in moving on, and I don't even rule out a trade deal along the lines of those with Japan, the EU and Korea during this period," he said. Trump had on Thursday said India's tariffs are among the highest in the world and slammed its ties with Russia calling both their economies dead, hours after announcing a 25% tariff on imports from New Delhi plus a penalty for trade with Moscow. A US trade team is scheduled to visit New Delhi on August 25 to continue talks on the proposed trade deal. The two sides are engaged in talks for a bilateral trade agreement (BTA), the first tranche of which is to be concluded by October with the aim to more than double the bilateral trade in goods and services to $500 billion by 2030 from the current $191 billion. Linscott termed the latest development only a "hiccup" in US-India trade negotiations. "...it requires a steady hand on the Indian side to signal that it is committed to continuing negotiations," he said. "But Trump remains a deal maker, and I believe there is a strong desire on the US side to make progress and conclude a short-term agreement and a longer-term bilateral trade agreement, " he added.
