Haryana-based CMR Green Technologies, India’s largest non-ferrous metal recycler, has reattempted to tap the capital markets. The company refiled its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI). CMR Green Technologies IPO is entirely an offer for sale of 4,28,90,735 equity shares.
Equirus Capital, ICICI Securities, and Motilal Oswal are managing the IPO, while KFin Technologies is the registrar of the issue.
Promoter Selling Shareholders
| Name of Selling Shareholder | Share Offered |
|---|---|
| Mohan Agarwal | 1,12,65,125 |
| Gauri Shankar Agarwala HUF | 64,66,620 |
| Mohan Agarwal HUF | 19,80,540 |
| Global Scrap Processors | 2,31,78,450 |
A Second Attempt
This isn’t CMR Green’s first try with the IPO market. Back in September 2021, the recycler had filed papers for an INR 300 crore fresh issue alongside a 3.34 crore share OFS. While SEBI approved it in February 2022, the company missed the one-year deadline to launch the offer.
Now, three years later, CMR Green is returning, buoyed by improved financial performance and a more favourable industry narrative around the circular economy and green aluminium.
Company Overview
Incorporated in 2005, CMR has grown into a market leader with an installed capacity of 6.05 lakh metric tonnes per annum (MTPA) as of June 2025—nearly four times its nearest domestic rival. According to ICRA, it also ranks among the largest global aluminium recyclers by capacity.
The company supplies to automotive giants and Tier-1 suppliers, holding an estimated 42–45% market share in the auto cast alloys segment in FY25. Clients include Honda Cars India, Bajaj Auto, Hero MotoCorp, Yamaha, Royal Enfield, and Rockman Industries, many of whom have partnered with CMR for over a decade.
Its product basket is diverse: aluminium alloys (liquid and ingot form), billets, zinc alloys, and segregated scrap of copper, brass, lead, and magnesium. In FY25, liquid aluminium accounted for nearly 39% of sales volumes, underscoring its pioneering role in just-in-time molten metal delivery—a model that locks in customer dependence and offers sustainability gains.
The Green Aluminium Advantage
Aluminium recycling is a powerful decarbonization lever. Manufacturing one tonne of primary aluminium emits ~3,830 kg of CO₂, while recycling cuts this to ~290 kg. In FY25 alone, CMR’s operations helped save 71.9 million kg of CO₂ emissions. The company also holds over 2,12,000 carbon credits.
Industry-wide, secondary aluminium’s share in India has risen from 35.1% in FY20 to 40.8% in FY2025, and is projected to hit 44.9% by FY30. Government policies—from Extended Producer Responsibility (EPR) norms to vehicle scrappage incentives—are expected to further boost domestic recycling. Globally, the EU’s Carbon Border Adjustment Mechanism (CBAM) is another factor nudging supply chains toward low-carbon aluminium.
Growth Strategy
CMR isn’t just resting on its automotive laurels. It is now expanding into wrought alloys, a segment catering to extrusions and rolled products used in construction, packaging, and renewable energy. The company’s Tirupati billet plant and Odisha UBC recycling facility (built for a major primary producer) mark its entry into these high-growth verticals.
Electric vehicles (EVs) are another growth lever. EVs require nearly three times more aluminium than internal combustion engine (ICE) vehicles. With government schemes such as the INR 10,900 crore PM E-DRIVE and rising SUV sales, demand for secondary aluminium is expected to surge.
Financial Performance
The company’s numbers tell a story of recovery and resilience:
- FY25 revenue: INR 6,666.5 crore, up 12% YoY from FY24’s INR 5,952.4 crore
- FY25 profit: INR 155 crore (vs. FY24 loss of INR 838.6 crore, hit by a one-time INR 1,239.6 crore exceptional loss)
- Customer stickiness: 97.4% of revenue came from repeat customers in FY25
Its low defect rate of just 0.07% highlights strong process control, while investments in automation and AI-driven supply chain management bolster efficiency.
Risks
- Import dependence: 70–80% of its scrap is sourced from overseas markets, exposing it to geopolitical and forex risks.
- Commodities exposure: Volatility in global scrap and aluminium prices could hit margins.
- Operational constraints: Liquid aluminium supply is limited to a 20–25 km radius from production sites.
Bottomline
CMR Green Technologies IPO refiling underscores that the company is in transition. Aluminium recycling is no longer a fringe activity but a critical part of India’s industrial and climate future. For investors, this is a bet not only on a company but on the rise of green aluminium as a mainstream growth story.
In the first eight months of 2025, the Indian IPO market has witnessed a flurry of activity with 48 public issues hitting the bourses. Of these, 13 IPOs debuted in the red, while 35 rewarded investors with positive listing gains. On average, the IPOs so far this year have delivered a listing-day return of 13.21% which is disappointing when compared with 2024’s 30.12% avg listing returns.
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