Clean Max Enviro Energy Solutions IPO Update

Key Highlights

The initial public offering (IPO) of Clean Max Enviro Energy Solutions, a commercial and industrial renewable energy provider, received a 3% subscription on the first day of its share sale, with bids for 6.6-lakh shares against 2.18-crore shares on offer as of 11:45 am.
The quota for retail individual investors was subscribed 1%, while the portion for qualified institutional buyers (QIBs) received 9% subscription.
The company earlier raised Rs 921 crore from anchor investors.

IPO Details

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The company's Rs 3,100 crore initial public offering will conclude on February 25.
The company has fixed a price band of Rs 1,000-1,053 per share, valuing it at Rs 12,325 crore at the upper end.
The shares of Clean Max Enviro are commanding a flat GMP in the unofficial market.

Clean Max Enviro is India's largest C&I renewable energy service provider, with a market share of approximately 8%.
The company is a net zero partner to corporate, which consumes 50% of India's total power, with an estimated market size of Rs 3 trillion.
The company enjoys premium power tariff vs utilities, with an average ticket size of 13 MW.
Clean Max Enviro has a capital-efficient (GB/EBITDA) model, with one of the lowest Net Debt/Adj. EBITDA of 4.8x, compared to the industry average of less than 6x.
The green sourcing penetration for corporate is expected to touch 20% by FY30, indicating scalability for the business.

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At the upper price band of Rs 1,053, the issue is valued at FY25 and annualized 1HFY26 EV/EBITDA multiple of 21.7x and 16.3x, respectively, based on post-issue capital.

Proceeds from the fresh issue amounting to Rs 1,125 crore will be used to repay debt, while the balance will go towards general corporate purposes.
Clean Max will make its stock market debut on March 2.