CMR Green Technologies Scales Back IPO Launch

CMR Green Technologies, a recycling firm in Faridabad, is set to initiate a reduced IPO on June 3. The IPO, entirely an offer-for-sale, will see 3.28 crore shares sold by promoters and investors, with no proceeds going to the company.

CMR Green Technologies, a Faridabad-based recycler of non-ferrous metals, plans to launch a scaled-down initial public offering (IPO) from June 3 to June 5. This move comes after the company trimmed the proposed issue size from its earlier target of up to 4.29 crore equity shares, as noted in the Red Herring Prospectus (RHP).

The forthcoming IPO will solely consist of an offer-for-sale (OFS) of up to 3.28 crore equity shares by existing promoters and an investment shareholder. The sellers include Mohan Agarwal, Gauri Shankar Agarwala HUF, Mohan Agarwal HUF, and Global Scrap Processors, based in Mauritius. Consequently, CMR Green Technologies will not directly receive any funds from this public offering, with all proceeds being allocated to the selling shareholders.

This marks CMR Green's second attempt to penetrate the primary market, having first contemplated an IPO in 2021 with a planned fresh issue of shares worth Rs 300 crore and an OFS of 3.34 crore shares. Despite securing approval from Sebi in February 2022, the company did not proceed with its initial public offering at that time.

The company is known for processing and manufacturing aluminum and zinc alloys, catering primarily to the automotive sector with a clientele that includes prominent OEMs and Tier-1 suppliers like Honda Cars India and Bajaj Auto. Post-listing, CMR Green's shares will be available on BSE and NSE, with Equirus Capital Ltd, ICICI Securities, and Motilal Oswal Investment Advisors serving as lead managers for the undertaking.