CMR Green Technologies IPO Review: Subscription Status, GMP & Analysis

The initial public offering (IPO) of CMR Green Technologies Ltd (CMR) kicked off with strong investor momentum on Wednesday, June 3, 2026.

By 12:30 PM on the first day of bidding, the public issue was already subscribed 87%. The retail category received full subscription, while the non-institutional investor (NII) segment also showed robust interest, booking 1.67x. 

Alongside the strong subscription speeds, the GMP (Grey Market Premium) is flashing positive retail sentiment in the unlisted market, pointing toward potential listing gains.

However, because this public issue is a pure Offer for Sale (OFS)—meaning no fresh capital goes directly into the company's books—the million-dollar question remains: Does the valuation justify the market hype and should long-term investors apply?

Before making a decision, dive into our comprehensive, data-driven analysis to see how the numbers stack up. Explore our in-depth IPO Analysis to evaluate core growth prospects, financials and major red flags.

CMR Green Technologies IPO Details, Date & Price Band

CMR Green Technologies: Business Overview

CMR is a leading non-ferrous metal recycler, converting metal scrap into recycled aluminium alloys in ingot and liquid form. Its portfolio also includes aluminium billets, zinc alloy ingots, dross and furnace-ready scrap of stainless steel, copper, brass, zinc, lead, magnesium and other metals.

CMR serves automotive OEMs, Tier-1 suppliers and foundries as a critical B2B supply-chain partner, helping them maintain a steady supply of casting alloys.

CMR holds around 42–45% market share by volume in India’s automotive cast alloy segment and is a key supplier of recycled liquid aluminium.

CMR Green Technologies: Key Strengths

• Market Leadership: CMR is among the largest aluminium recycling companies globally by capacity and holds the highest market share in India’s secondary aluminium market by revenue in FY25.
• Large-Scale Advantage: With a combined capacity of ~6,15,150 MTPA across 13 facilities, CMR’s footprint is nearly four times that of its nearest domestic rival. This ensures major scale benefits, procurement leverage and deep volume capacity for big clients.
• Strong Customer Stickiness: The firm boasts high customer retention, with repeat clients driving ~96% of 9MFY26 revenue. Relationships with its top five buyers range from 16 to over 19 years, showing strong enterprise trust.
• Strategic Alliances: Technical and equity joint ventures with top Japanese firms (including Toyota Tsusho, Nikkei MC Aluminium, and Nippon Light Metal) provide advanced casting technology and solidify its position with Japanese automakers in India.
• Steady Top-Line Growth: While net profits have fluctuated, CMR achieved steady top-line growth, scaling its revenue at a CAGR of ~7% between FY23 and FY25.
• Strong Unit Economics: Improving pricing power lifted EBITDA per MT from ₹6,908 in FY24 to ₹10,552 in 9MFY26, driving absolute EBITDA to a record ₹324.44 crore in 9MFY26.

CMR Green Technologies: Risk Factors

• Inconsistent Earnings: Profitability has been uneven. FY24 saw a reported loss of ₹838 crore due to a one-time goodwill write-off of ₹1,240 crore. However, core business remains cash-generative, with PAT recovering to ₹155 crore in FY25 and ₹162 crore in 9MFY26.
• Client Concentration: Revenue is tied to a limited client base. In 9MFY26, the top three customers brought in 21% of revenue and the top five accounted for 32.5%. Losing business from these buyers would adversely impact financials.
• Cash Flow Concerns: CMR reported negative operating cash flows in both FY25 and 9MFY26. Continued negative cash trends could limit working capital and delay growth funding.
• Supply Chain Dependency: India faces high-quality metal scrap shortages, forcing CMR to rely on imports for 73.15% of its raw material in FY25. However, this is partially hedged across 198 suppliers in 73 countries.
• Commodity Price Volatility: Operating in a thin-spread recycling industry makes profit margins highly sensitive to London Metal Exchange (LME) aluminum prices, scrap price spreads, and forex rate fluctuations.

Final Thoughts: Should You Subscribe to CMR Green Technologies’ IPO?

CMR is a market leader in India’s secondary aluminium industry, with the highest market share and an installed capacity nearly four times that of its nearest domestic competitor.

While the company has delivered steady revenue growth, its bottom-line performance has been inconsistent. FY24 was impacted by a reported net loss, but profitability recovered meaningfully in FY25 and remained strong in 9MFY26.

From a valuation perspective, the IPO appears reasonably priced at a P/E of 29.5x based on FY25 earnings, which is at a discount to the broader industry average.

CMR is also well positioned to benefit from structural industry tailwinds. The Government’s Vehicle Scrappage Policy and the Extended Producer Responsibility (EPR) mandates for non-ferrous metals, effective from April 2026, are expected to push the industry toward organised and compliant recyclers like CMR.

CMR’s leadership position, large-scale capacity, strong customer relationships and exposure to India’s EV theme make it well placed to capture long-term volume growth in aluminium recycling.

While earnings volatility and cash-flow concerns remain key monitorables, CMR’s market leadership, reasonable valuation and favourable industry outlook support a positive view.

For a deep dive into other IPOs, explore: IPO Corner on Liquide

Disclaimer: Investment in securities market are subject to market risks. Read all the related documents carefully before investing.

The content provided in this blog is purely for informational and educational purposes only and does not constitute explicit investment advice, buy/ sell/ subscribe recommendations or a solicitation to trade.

The analysis of CMR Green Technologies Ltd is based on publicly available data, the Red Herring Prospectus (RHP) and market trends. Grey Market Premium (GMP) data is highly volatile, speculative, unregulated and should not be used as the primary basis for investment decisions.

Investors are strongly advised to consult with a SEBI-registered financial advisor before executing any trading strategies or making investment decisions.

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