CMR Green Tech IPO shares made a shining debut. The shares of the company were listed at a premium of 39.58% to their issue price at Rs 268 on the NSE. The stock was listed at Rs 275.40 on the BSE, a premium of 43.43%.
However, soon after, the shares saw some profit booking and fell 6% intra-day.
Last evening, CMR Green Tech was trading at a GMP of Rs 260, implying a premium of 35.42% from its issue price of Rs 192 per share.
The IPO saw a strong investor response and a whopping subscription of 127.04 times at a time when primary markets are dry.
CMR Green Technologies IPO: Issue Size, BRLM and GMP
The IPO raised Rs 630.88 crore from investors via the offer-for-sale route. It is issuing 3.29 crore shares at a face value of Rs 2 each.
Equirus Capital, ICICI Securities, and Motilal Oswal Investment Advisors are working as the book-running lead managers, while KFin Technologies is the registrar to the offer.
The IPO opened for bidding on June 3 and closed on June 5. Eligible beneficiaries were allotted the shares on June 8, while refunds and credits of shares took place on June 9.
CMR Green Technologies IPO: Subscription snapshot
The initial public offering saw overwhelming investor demand, garnering bids for over 292 crore equity shares in comparison to its request for 2.3 crore shares. When the bidding period concluded, the total subscription was recorded at 127.04 times.
Qualified Institutional Buyers (QIBs): 270.46 times
Non-Institutional Investors (NIIs): 172.35times
Retail Investors: 27.03 times
CMR Green Technologies IPO: Expert take
“We do not expect a sudden inflexion in profitability. What we do expect is steady compounding revenue growth driven by new capacity, gradual product mix enrichment toward liquid metal and billets, which approximately doubles the serviceable, the management’s willingness and flexibility to add-on new metals and products once they’re proven scalable, and a long tail of optionality from carbon credit monetisation,” said Choksey Research in an IPO report. It has given the IPO a ‘Subscribe’ rating.
Another brokerage house, Anand Rathi Research, said, “Overall, CMR Green is well-positioned to capitalise on the growing shift toward sustainable metal recycling, supported by market leadership, scale advantages, product diversification, and favourable industry dynamics.. Hence, we assign a Subscribe-long-term rating for the issue.”
