Clean Max IPO shares make a disappointed market debut; stock lists at 10% discount

Shares of Clean Max Enviro Energy Solutions made a muted stock market debut on Monday as the renewable energy solutions player was listed at Rs 952.20 on BSE, a discount of 9.57 per cent over its issue price of Rs 1,053. Similarly, the stock kicked-off its maiden trading session with a discount of 8.83 per cent over its given issue price at Rs 960 on NSE. As of the listing price, investors made a loss of Rs 1,411.2 on each lot allotted to them. Ahead of its listing, Clean Max Enviro Energy Solutions was hinting at a muted debut, considering its grey market premium (GMP). Last heard, it was commanding a discount of Rs 35 per share, suggesting a listing at a 3 per cent discount for the investors. The IPO of Clean Max Enviro Energy Solutions was open for bidding between February 23-25. It had offered its shares in the price band of Rs 1,000-1,053 per share with a lot size of 14 shares. The company eyed to raise a total of Rs 3,100 crore via IPO, which included a fresh share sale of Rs 1,200 crore and an offer-for-sale (OFS) of up to 1.80 crore shares worth Rs 1,900 crore. The issue was overall subscribed only 94 per cent with only 37,210 applications, fetching bids for Rs 2,166 crore. The portion for qualified-institutional bidders (QIBs) was subscribed 2.83 times. The quotas for non-institutional investors (NIIs) and retail bidders were undersubscribed at 54 per cent and 6 per cent, respectively. The employee portion was booked just 10 per cent. Bengaluru-based Clean Max Enviro is India’s leading commercial and industrial (C&I) renewable energy provider. Its key offerings include supplying renewable power, providing energy services, and offering carbon credit solutions. It has 2.54 GW of operational, owned, and managed capacity and an additional 2.53 GW of contracted capacity under execution. Brokerage firms were mostly positive on the issue, suggesting to subscribe to it on a long-term only. Axis Capital, BNP Paribas, JP Morgan India, HSBC Securities and Capital Markets (India), IIFL Capital Services, Nomura Financial Advisory, BoB Capital Markets and SBI Capital are the book running lead manager of Clean Max IPO and MUFG Intime India is the registrar of the issue.