CMR Green Tech’s ₹630 crore IPO opens for bidding: Check GMP, brokerages’ reviews and key details
CMR Green Technologies’ initial public offering opened for subscription on Wednesday, drawing strong early attention in the grey market ahead of the issue. Market observers said the IPO is commanding a grey market premium of about 33%, suggesting a likely listing price of around Rs 255-256 per share compared with the upper end of the issue price band at Rs 192.
The IPO will remain open from June 3 to June 5. It is a pure offer for sale, or OFS, worth Rs 630.6 crore, which means the company itself will not receive any funds from the issue. The price band has been set at Rs 182-192 per share, and investors can apply for a minimum lot of 78 shares.
CMR Green Technologies is positioned as India’s largest non-ferrous metal recycler by installed capacity. According to an ICRA report cited in the prospectus, the company also held the highest market share in India’s domestic secondary aluminium market in FY25. It operates 13 manufacturing facilities and produces recycled aluminium alloys, aluminium billets, zinc alloy ingots and other recycled metal products. The company is estimated to command a 42%-45% market share in the cast alloy segment catering to the automotive industry.
The business is benefiting from a broader shift toward recycled metals as manufacturers look for lower-carbon production methods. The ICRA report noted that recycled aluminium generates significantly lower emissions than primary aluminium production and requires much lower capital investment, making the segment attractive as industries focus on sustainability and resource efficiency.
On the financial front, CMR Green reported revenue from operations of Rs 6,666 crore in FY25, up 12% from the previous year. Profit after tax stood at Rs 155 crore, compared with a loss in FY24 that was largely due to a one-time goodwill impairment charge.
Before opening the issue to the public, the company raised Rs 188 crore from anchor investors, with participation from domestic mutual funds, insurance companies and foreign institutional investors.
Brokerage opinions on the IPO are mixed. Motilal Oswal pointed to CMR Green’s leadership in aluminium recycling, its strong market position and exposure to long-term themes such as sustainability and decarbonisation. The brokerage said the company is seeing benefits from rising demand for recycled aluminium and expansion into new areas such as extrusion and rolled alloys.
Swastika Investmart, however, assigned a “Neutral” view. It said the valuation of about 27 times FY25 earnings appears reasonable compared with peers, while acknowledging the company’s strong industry position. At the same time, it flagged the fact that the issue is entirely an OFS, along with customer concentration risks, dependence on a few major clients and relatively thin operating margins. The brokerage said investors with a higher risk appetite may look at the issue mainly for listing gains.
The IPO is drawing interest at a time when investor appetite remains strong for manufacturing companies linked to sustainability, recycling and the circular economy. With grey market sentiment still positive, the market will closely track subscription numbers over the three-day issue period to see whether demand from institutional and retail investors matches early signals.
