CMR Green Technologies IPO Update: Day 2 Subscription Figures Exceed Expectations

CMR Green Technologies IPO Sees Strong Investor Interest

CMR Green Technologies, a non-ferrous metal recycler, has seen strong investor interest in its initial public offering (IPO), which opened for public subscription on June 3. The IPO was fully subscribed on the first day of bidding, reflecting the company's market leadership and industry tailwinds.

Issue Details

The CMR Green Technologies IPO is open for subscription until June 5, with a price band of ₹182-192 per share. Ahead of the issue opening, the company raised ₹188.44 crore from anchor investors by allotting 98.14 lakh equity shares at the upper end of the price band, ₹192 per share. The anchor book saw participation from leading institutional investors, including SBI Mutual Fund, ICICI Prudential Mutual Fund, HDFC Mutual Fund, Nippon India Mutual Fund, Kotak Mutual Fund, and Goldman Sachs.

Read also: Drone Startup IdeaForge Surges 5% on Market Debut, Hits 52-Week High Following ₹500 Crore Fundraising Approval

Subscription Status

The company has received bids for 5,66,05,068 shares against 2,30,43,930 shares on offer at 17:00 IST, according to BSE data. As per the subscription status, the retail portion is subscribed 2.45x, and NII portion has been booked 5.67x, while QIBs portion received 3% bids. The employee portion was booked 3.18x.

Brokerage Views

Brokerages have offered mixed views on the CMR Green Technologies IPO. SBI Securities has recommended investors subscribe to the IPO, citing the company's position as the largest aluminium recycler in India by installed capacity. The brokerage believes the company is well-placed to benefit from rising demand for recycled metals and favourable industry dynamics.

Read also: SpaceX Sets Fixed Price for $75 Billion Initial Public Offering

Listing Expectations

According to recent trends in grey market activity, the estimated listing price of CMR Green Technologies shares is ₹252 apiece, which is 31.25% above the IPO price of ₹192. The minimum GMP is ₹24, while the maximum is ₹63.

IPO Details

The IPO comprises solely an offer-for-sale (OFS) of 3.28 crore equity shares from existing promoters and investors, with no fresh issue component. The company will not raise any capital through the IPO, and all proceeds will go directly to the selling shareholders. The basis of allotment is expected to be finalised on June 8, while successful applicants are likely to receive shares in their demat accounts on June 9. The stock is tentatively scheduled to list on the BSE and NSE on June 10.