**Market Brief: CleanMax Enviro Energy IPO** **IPO Launch and Market Sentiment** The subscription window for CleanMax Enviro Energy Solutions opens today, Monday, February 23, and will remain available until Wednesday, February 25. This **₹3,100 crore** public issue is a major test for the renewable energy sector in a cautious primary market. The current Grey Market Premium (GMP) is sitting at a marginal **₹3 to ₹7**, indicating a potential listing gain of less than **1%** over the upper price band of **₹1,053**. **Pricing and Participation** The price band is fixed between **₹1,000 and ₹1,053** per equity share. Retail investors can participate with a minimum investment of **₹14,742** for a lot of 14 shares. The issue is structured with a fresh equity component of **₹1,200 crore** and an Offer for Sale (OFS) of **₹1,900 crore** from existing promoters and investors, including Brookfield-backed entities. **Strategic Deleveraging** A primary objective of the fresh capital is the repayment of debt. Approximately **₹1,123 crore** of the proceeds is earmarked to reduce the company's significant borrowing, which stood at roughly **₹10,121 crore** as of late 2025. This move is intended to lower interest expenses and improve net margins, which have only recently turned positive. **Operational Footprint** CleanMax is India’s largest renewable energy provider in the commercial and industrial (C&I) sector. As of late 2025, it maintained an operational, owned, and managed capacity of **2.80 GW**, with a massive pipeline of **3.17 GW** under contract. The business model relies on long-term Power Purchase Agreements (PPAs) with a weighted average tenure of nearly **23 years**, providing significant revenue visibility. **Financial Performance** The company reported a total income of **₹1,610 crore** for FY25, achieving a slim profit of **₹19.43 crore** after consecutive years of losses. While EBITDA margins have shown strong growth—climbing to over **60%**—the valuation remains a point of contention. At the upper price band, the IPO is priced at a trailing price-to-earnings (P/E) multiple exceeding **380x**, significantly higher than several established peers. **Investor Outlook** Analysts are maintaining a neutral to cautious stance. While the structural shift toward green energy and a blue-chip corporate client base offer long-term appeal, the aggressive valuation and heavy debt levels may cap short-term upside. Market participants are closely watching subscription levels in the institutional and retail segments to gauge whether the "green theme" can overcome the current trend of muted listing debuts.