M&B Engineering Ltd. has approved a brownfield expansion of its heavy structural steel manufacturing capacity at its Sanand facility in Gujarat, adding 10,000 tonnes per annum (TPA) to the existing capacity. The expansion will take the company’s heavy structural steel capacity from 12,000 TPA to around 22,000 TPA, with commissioning targeted for Q1 FY28.
The company plans to invest approximately ₹30 crore in the expansion, which will be financed through a combination of term loans and internal accruals. The existing heavy structural steel capacity is currently operating at around 75–78% utilisation, indicating increasing demand for the company’s structural steel solutions.
The capacity addition is being undertaken against a growing opportunity in steel-intensive construction. M&B Engineering has identified the expansion of India’s data-centre infrastructure and high-rise construction as key demand drivers for heavy structural steel. The company estimates that India’s data-centre construction sector could represent a $12–14 billion addressable opportunity over the next five years, supported by announced investments of around $60–70 billion.
Heavy structural steel is increasingly being used alongside pre-engineered building (PEB) systems in projects requiring high load-bearing capacity, faster construction and greater design flexibility. This combination is particularly relevant for data centres, industrial facilities and large commercial developments, where structural requirements can be considerably more demanding than those of conventional low-rise buildings.
The Sanand expansion will strengthen M&B Engineering’s ability to cater to this segment while complementing its existing PEB capabilities. By combining PEB and heavy structural steel solutions, the company is positioning itself to participate in larger and more technically complex construction projects rather than remaining limited to conventional industrial structures.
The investment also comes alongside a strong business pipeline. M&B Engineering reported an order book of ₹1,053 crore as of June 30, 2026, representing a year-on-year increase of around 25%. Export orders accounted for approximately ₹278 crore of the backlog, reflecting the company’s growing international business.