Clean Max IPO delivers windfalls to promoters, early investors

MUMBAI: Brookfield Asset Management-backed CleanMax Enviro Energy Solutions’ Rs 3,100-crore IPO is set to give multifold gains to promoters and early investors to the tune of 270% of their investments with the promoters making the maximum. The company has announced the price band for the issue opening on February 23 at Rs 1,000–1,053 and the issue comprises Rs 1,200 crore in fresh issue and Rs 1,900 crore in offer-for-sale and values it at Rs 12,030 crore at the upper end. Started in 2010, Clean Max specialises in net-zero and decarbonisation solutions. As of July 2025, it had 2.54 gw of operational, owned and managed capacity and 2.53 gw of contracted capacity yet to be executed. According to the red herring prospectus, the weighted average cost of acquisition of all equity shares transacted in the last one year stood at around Rs 681 per share. Given this, promoter and managing director Kuldeep Jain who holds 10.98% stake at an average cost of Rs 0.7/share, is set for significant gains with his the value of his holding at Rs 80 lakh is now valued at around Rs 1,229 crore. Similarly, Pratap Jain and Nidhi Jain, whose stakes were earlier valued at around Rs 35,000 and Rs 1.3 crore respectively, are now valued at about Rs 5.3 crore and Rs 53 crore. Brookfield’s BGTF One Holdings, which holds 3.35 crore shares, is worth around Rs 3,519 crore from Rs 1,452 crore before the price band announcement, up 143%. Kuldeep Jain and Nidhi Jain-owned Kempinc LLP, which holds 1.37 crore shares acquired at an average cost of Rs 311.4/share, are worth about Rs 1,440 crore, up 238% from around Rs 426 crore. Augment India 1 Holdings, holding 1.63 crore shares at an average cost of Rs 285.3/share, is worth Rs 1,709 crore now, marking a 269% rise from Rs 463 crore. DSDG Holdings APS, which owns 36.8 lakh shares, saw its holding value increase from around Rs 106 crore to about Rs 387 crore, reflecting a 265% gain. Earlier, Temasek Holdings and Bain Capital Advisors, along with three other investors, had acquired shares worth Rs 1,185 crore in Brookfield Asset Management-backed Clean Max via a pre-IPO placement. The placement also attracted Steadview Capital, 360One, Steinberg India emerging opportunities fund and several family offices. Investments from family offices are routed through TrustGroup led by Utpal Sheth, former chief of Rare Enterprises. Temasek and Bain Capital are expected to collectively hold close to a 10% stake in the company following the transaction. The company proposes to utilise Rs 1,125 crore from the fresh issue proceeds to repay debt which as of March 2025 was Rs 8,078.1 crore. Clean Max provides energy contracting, engineering, procurement and construction services, and operation and maintenance services for renewable energy plants, including solar, wind and hybrid projects. It reported a profit of Rs 19.4 crore in fiscal 2025, compared with a loss of Rs 37.6 crore in the previous year. Revenue rose 7.6 percent to Rs 1,495.7 crore from Rs 1,389.8 crore.