Highlights
| Issue Size – 32,858,323 shares | Issue Open/Close – 03 June / 5 June, 2026 |
| Price Band (Rs.) 182 – 192 | Issue Size (Rs.) ~ 6,310 mn |
| Face Value (Rs) – 2 | Lot Size (shares) – 78 |
CMR Green Technologies Ltd. (CMRGT), incorporated in 2006, is the leading non-ferrous metal recycler and has the highest market share in the Indian secondary aluminium market in terms of revenue from operations for the FY25 amongst the peer companies.
Company ranks among the largest players in the global aluminium recycling industry in terms of installed capacity as of FY25. They manufacture recycled aluminium alloys (in ingot and liquid form), zinc alloy ingots, dross and segregated furnace ready scrap of stainless steel, copper, brass, zinc, lead and magnesium, amongst others.
Company also produces aluminium billets that cater to both automotive and non-automotive sectors. These billets, made from recycled aluminium, are raw materials used in extrusion processes to create profiles for various applications. Their billets are manufactured to meet industry standards, ensuring stable mechanical properties, formability, and corrosion resistance.
Company will not receive any proceeds out of ~Rs. 6,361 mn offer and all the offer proceeds will be received by the selling shareholders as the company expects that listing of the Equity Shares will enhance their visibility and brand image.
Key Highlights
- Recycled Aluminium market in India is expected to reach a value of USD 9.2 bn and a volume of 3,715 thousand tons by FY30, reflecting a CAGR of 13.2 pct and 11.2 pct over FY26-FY30. Similarly, recycled zinc and stainless steel are expected to grow at a CAGR of 7.5 pct/6.1 pct and 9.7 pct/8 pct, respectively, in terms of value/volume over the same period. While copper is expected to register a CAGR of 12 pct/7 pct over the period of FY25-FY30.
- Company has a capacity advantage over domestic players, with an installed capacity of around 4 times of the nearest competitor in the domestic recycled aluminium space, as of FY25. They rank among the largest players in the global aluminium recycling industry in terms of installed capacity as of FY25.
- As of FY26, the company has an installed capacity of 470,300 MTPA for aluminium alloy, 8,400 MTPA for Zinc alloy, and 136,500 MTPA for other metals, with a combined capacity utilization at ~67 pct for FY26.
- Company’s key strategies include (i) Diversification into Other Metals and Expanded Industry Base (ii) Green Aluminium Focus domestically and globally (iii) Expansion of supply of wrought alloys and partnership with primary players (iv) Leverage the focus on aluminium content in electric vehicles and the growing demand of aluminium in ICE vehicles (v) Continue to invest in higher technological capabilities in order to capitalize on future trends.
- Sales of the company have grown by 6.6 pct CAGR in FY23-25, and EBITDA and Profit grew by 21.1 pct CAGR and 21.8 pct CAGR over the same period. During FY25, the sales of the company jumped by 12 pct YoY to Rs. 66,664 mn. While EBITDA of the company grew by 39.7 pct YoY to Rs. 3,037 mn, EBITDA margin expanded by 90 bps to 4.6 pct YoY in FY25. During FY25, the company reported profit of Rs. 1,550 mn.
Key Risk
- Company relies heavily on a few customers for a large portion of revenue. In Q3FY26, top 3 customers accounted for 21 pct, while top 5 customers contributed 33 pct to consolidated revenue. Losing top customers or significantly reducing production and sales from significant customers could negatively impact business, financial condition, results of operations, and cash flows.
- Company has an outstanding proceeding initiated by Enforcement Directorate, Mumbai. In the event of adverse rulings in these proceedings or levy of penalties/fines, CMRGT may need to make payments or make provisions for future payments.
Financial Performance
| (In Rs. million, unless otherwise stated) | FY23 | FY24 | FY25 | 9MFY26 |
| Revenue from Operations | 58685 | 59524 | 66664 | 62755 |
| EBITDA | 2070 | 2174 | 3037 | 3244 |
| EBITDA Margin % | 3.5% | 3.7% | 4.6% | 5.2% |
| Profit/Loss | 1045 | (8386)* | 1550 | 1623 |
| Profit Margin % | 1.8% | -14.1% | 2.3% | 2.6% |
| Net Debt to Equity (x) | 0.2 | 0.4 | 0.6 | 0.8 |
| Fixed Asset Turnover Ratio (x) | 11.4 | 9.3 | 8.1 | 7.5 |
* Profit was negative in FY24 on account of an exceptional item of Rs. 12,396 mn created on account of impairment of non-cash goodwill.
Peer Comparison based on FY25 Financials
| Peer Comparison | CMR Green Technology | Pondy Oxide and Chemicals | Gravita India | Baheti Recycling | Jain Resource and Recycling |
| Sales (Rs. mn) | 66,664 | 20,569 | 38,688 | 5,243 | 64,294 |
| EBITDA (Rs. mn) | 3,037 | 1,049 | 3,241 | 406 | 3,650 |
| EBITDA Margin % | 4.6% | 5.1% | 8.4% | 7.8% | 5.7% |
| Profit (Rs. mn) | 1,550 | 581 | 3,129 | 180 | 2,218 |
| Profit Margin % | 2.3% | 2.8% | 8.1% | 3.4% | 3.4% |
| Net Debt/Equity | 0.58 | 0.12 | -0.06 | 2.40 | 0.93 |
| Fixed Asset Turnover Ratio (x) | 8.14 | 8.62 | 8.25 | 23.89 | 70.05 |
Valuation
CMR Green Technologies Ltd is one of the leading non-ferrous metal recyclers in terms of installed capacity as of FY25 and it has the highest market share in the Indian secondary aluminium market in terms of sales for the FY25 amongst the peer companies. At the upper end of the price of Rs. 192, the issue quotes PE of 19.4x on FY26 annualized earnings. The issue looks fully priced.
