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Clean Max IPO Launches: A Beacon of Hope in a Weak Market?
23 Feb
Summary
- Indian IPO market shows a 2.6% decline year-to-date in 2026.
- Clean Max Enviro Energy Solutions launches a ₹3,100 crore IPO.
- Company turned profitable in FY25, reporting ₹19.4 crore PAT.
The Indian primary market has faced significant headwinds in 2026, with benchmark indices down 2.6% year-to-date. Investor sentiment is subdued due to global uncertainties and domestic liquidity tightening, leading to scarce Mainboard IPO activity and weak listing gains.
In this challenging environment, Clean Max Enviro Energy Solutions is launching a ₹3,100 crore IPO. The renewable energy platform, founded in 2010 and based in Mumbai, serves the commercial and industrial segment with an "energy-as-a-service" model.
The company reported a turnaround, becoming profitable in FY25 with a profit after tax of ₹19.4 crore, after incurring losses in the previous two fiscal years. Management indicates this profitability momentum has continued into the current fiscal year.
Clean Max's revenue from operations has grown substantially, and its EBITDA has seen a compounded annual growth rate of approximately 58% over the past three financial years. The company's debt-to-equity ratio stood at about two times in FY25, with plans to use ₹1,125 crore from the fresh issue to repay debt.
Analysts remain cautious regarding the sustainability of the turnaround, citing factors like plant load factors and execution timelines. Valuation metrics present a mixed picture, with a lower EV/EBITDA multiple compared to the industry average but a significantly higher P/E ratio.
