M&B Engineering IPO Day 2: Subscribed 3.11x Overall Retail Overshoots 10.16x, NII at 4.56x

Mumbai, July 31, 2025 — M&B Engineering Limited’s ₹650 crore IPO continued to receive strong interest on Day 2, especially from Retail Individual Investors (RIIs) and Non-Institutional Investors (NIIs). The total issue has now been subscribed to 3.11 times, with retail subscription at 10.16x and employee quota at 3.81x. QIB interest remains subdued ahead of the final day.

IPO Subscription Status (as of July 31, 2025 – 5:00 PM)

The M&B Engineering IPO was subscribed 3.11 times overall by the end of Day 2. Retail investors led the surge with a subscription of 10.16 times, bidding for over 1.71 crore shares. Non-Institutional Buyers subscribed 4.56 times, with sNII (6.72x) and bNII (3.48x) showing solid demand. In contrast, Qualified Institutions showed minimal interest, with just 0.02x subscription. The total bid amount across all categories stood at ₹1,113.59 crore.

Funds Usage

M&B Engineering plans to utilise the IPO proceeds of ₹275 crore primarily for capital expenditure worth ₹130.58 crore, including machinery, solar systems, and infrastructure upgrades. Around ₹58.75 crore will go toward repaying existing loans, while ₹5.20 crore is allocated for IT software upgrades. The remaining funds will be used for general corporate purposes, including working capital and strategic initiatives.

Observations

Retail investors showed exceptional interest, subscribing 10.16 times, reflecting strong confidence. Non-Institutional Investors, particularly sNIIs, bid aggressively with a 6.72x subscription. Qualified Institutional Buyers remained subdued at just 0.02x, though their bids often come on the final day.

What’s Ahead?

With only one day left — August 1, 2025 — the QIB segment is expected to see heavy activity. Final allotment will be declared on August 4, followed by listing on August 6.

Stay tuned for the final day bidding and listing premium expectations.

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