Clean Max Enviro Energy Solutions
- Clean Max Enviro Energy Solutions is coming out with a 100% book building; initial public offering (IPO) of 3,10,33,328 shares of face value Rs 1 each in a price band Rs 1000-1053 per equity share.
- Not more than 50% of the issue will be allocated to Qualified Institutional Buyers (QIBs), including 5% to the mutual funds. Further, not less than 15% of the issue will be available for the non-institutional bidders and the remaining 35% for the retail investors.
- The issue will open for subscription on February 23, 2026 and will close on February 25, 2026.
- The shares will be listed on BSE as well as NSE.
- The face value of the share is Rs 1 and is priced 1000 times of its face value on the lower side and 1053 times on the higher side.
- Book running lead managers to the issue are Axis Capital, J.P. Morgan India, BNP Paribas, HSBC Securities and Capital Markets (India), IIFL Capital Services, Nomura Financial Advisory and Securities (India), BOB Capital Markets and SBI Capital Markets.
- Compliance Officer for the issue is Ullash Parida.
Profile of the company
Clean Max Enviro Energy Solutions is India’s largest commercial and industrial (C&I) renewable energy provider with 2.80 GW of operational, owned and managed capacity, and 3.17 GW of contracted, yet to be executed capacity, as of October 31, 2025. With 15 years of experience since its inception in 2010, it specializes in delivering Net Zero10 and decarbonization solutions, including supplying renewable power and offering energy services and carbon credit solutions to customers across data centres, AI and technology industries (Technology customers); and C&I enterprises across a range of sectors, including infrastructure, cement, steel, industrial manufacturing, FMCG, pharmaceuticals, real estate, and global capability centres (Conventional C&I customers). Its expertise spans across providing energy contracting, engineering, procurement and construction (EPC) services, and operation and maintenance (O&M) services of renewable energy plants including solar, wind and hybrid plants, within its customer’s premises (Onsite) and within CleanMax-developed renewable energy (solar, wind and hybrid) farms (Offsite).
The company also provides end-to-end decarbonization solutions to customers such as turnkey development, O&M solutions for renewable energy power plants and carbon credits solutions. It is committed to being a Net Zero partner to corporates, driven by a client-first culture, execution excellence, focus on capital efficiency and its people and culture. It has developed in-house capabilities in various aspects of execution, including project development (evacuation and assessment), land acquisition, EPC, financing and asset management. These capabilities help it to achieve project returns, source and develop new projects to support long-term growth, and maintain control over the entire project lifecycle, from greenfield/brownfield development to ownership and operations.
The company’s business model is distinct from utility-scale renewable energy developers, as it does not participate in competitive tenders with state-owned distribution companies or central government utilities, which award projects solely based on the lowest tariff bids. Instead, it pursues customer-specific contracting by tailoring projects for corporate consumers’ needs and selling energy generated from its solar, wind, and hybrid renewable energy farms. This business model has enabled it to foster relationships with 555 customers as of September 30, 2025, with 71.72% of its Contracted Capacity for the six months period ended September 30, 2025 being attributable to demand from repeat customers. In addition, it has enabled it to price its offerings at a premium, as compared to large utility-scale peers.
Proceed is being used for:
- Repayment and/or pre-payment, in part or full, of all or certain outstanding borrowings of the company and/or certain of its subsidiaries
- General corporate purposes
Industry Overview
India has emerged as a key player in the global electricity and Renewable Energy (RE) market. It is the third-largest electricity consumer and the third largest in terms of installed RE capacity globally. India has significantly increased its non-fossil fuel-based generation capacity, with its share rising from 30.2% in 2015 to 47.1% in 2024. As of 2024, the combined solar and wind capacities comprise 31.6% of the country’s total installed capacity. Solar energy recorded a meteoric rise from just 2.6 GW in fiscal 2014 to 82 GW in fiscal 2024 and 106 GW in fiscal 2025, driven by ambitious policy targets, declining technology costs, falling solar tariffs, improved grid infrastructure, rising domestic manufacturing base for solar modules and large-scale solar parks. Wind capacity increased to 50 GW in fiscal 2025 from 21 GW in fiscal 2014. The domestic RE market has expanded faster than most leading global economies, positioning India just behind China and the US in annual additions. The total RE installed capacity in India was 238 GW in 2024, positioning it third in global RE installed capacity, third in solar power and fourth in wind power capacity.
The total RE capacity is expected to cross 9,500 GW by 2030 from 4,924 GW in 2024. This would result in net capacity addition of over 4,600 GW between 2025-2030. Utility scale solar PV and onshore wind power are expected to dominate this growth, accounting for over 85% of all new renewable capacity additions by 2030. This would be driven by their competitive pricing compared with fossil and non-fossil alternatives, as well as supportive government policies. China and the US would dominate capacity additions globally by contributing 60-65% of the total capacity addition over the next five years. Other countries such as Brazil, Germany and Japan would collectively add about 300-310 GW over the same period.
India is expected to log rapid growth, with its annual solar and wind capacity additions increasing from 35 GW in 2024 to 61 GW in 2030, translating into a total RE capacity addition of 345 GW between 2025 and 2030. Over 90% of the RE capacity (315 GW) is expected to come from solar and wind projects. This would be driven by large-scale government procurement programmes, attractive tariffs and a strong commitment to addressing the effects of climate change. As a result, India's share of global solar and wind energy additions is expected to go up from 5.2% in 2024 to 7-7.5% by 2030. Moreover, RE auctions, corporate power purchase agreements (PPAs) and incentives stimulating installation of distributed solar PV will continue to spur overall RE capacity growth.
Pros and strengths
Customer-centric business model with risk diversification: With 53 professionals across its offices in India, United Arab Emirates and Thailand, its dedicated business development team manages the entire customer lifecycle, from initial engagement and bespoke contract structuring to co-ordination during project execution, commissioning and ongoing project operation, across a distributed customer base, comprising 555 customers and 1,198 PPAs and contracts, as of September 30, 2025. With average sizes of its group captive models at 24.08 MW per customer and 12.50 MW per PPA, its business model emphasizes on smaller, customer-centric engagements that diversify risk across clients, sectors, and geographies. Its ability to retain and deepen engagement with its existing customer base enables it to develop insights into customer ecosystems that provide inputs to its business strategies and drive product cross-sales and enhance long term visibility in its contracted pipeline.
ESG leadership driving competitive advantage: The company’s ESG capabilities are a key element of its customer-centric approach, as many of its customers have sustainability goals and Net Zero ambitions. The company’s ESG efforts have gained international recognition, as the company was recognized as a sector leader in renewable power sector by Global Real Estate Sustainability Benchmark (GRESB) Infrastructure Asset Benchmark Report 2025; with a perfect 5/5 score among 650+ participating companies. The company’s ESG practices are integrated across the value chain, starting with project development, where it incorporates biodiversity considerations and project impact assessments. This integration extends to EPC, with a focus on water and waste management, recycling, and occupational health and safety. In Fiscal 2025, 2.61 TWh of renewable energy, respectively, for its customers, which translated into 1.89 million tonnes of CO2, avoided by its customers.
Strong land bank & evacuation readiness strategy: For its Offsite farms, it aims to ensure appropriate availability of evacuation and land rights at the development phase. The company has a 38-member land acquisition, regulatory and permitting team that enable its Project Development function as of September 30, 2025. The company’s team works towards making land available in a timely manner to support project evacuation, ensuring sufficient quantity, suitable resource quality - especially relevant for wind site micro siting - and construction-friendly conditions. All these states are characterized by high solar irradiation and high wind speeds. The following table provides details of its firm and unused power evacuation capacity for STU Connected and CTU-Connected farms, as of March 31, 2025 and as of September 30, 2025.
Strong credit rating enabling competitive financing: The company was rated as CARE A+ Positive as of September 30, 2025 pursuant to a credit ratings letter dated November 6, 2024, which is valid. Its credit ratings enable it to secure financing on competitive terms and access a larger pool of lenders. It had Total outstanding borrowings of Rs 102,611.28 million from 25 domestic banks, foreign banks, non-banking financial corporations and multilateral financiers, as of September 30, 2025, attributable to its credit metrics. It follows disciplined borrowing practices and avail a mix of fixed and floating interest rate loans. It typically aims to refinance high cost loans within two years of the relevant project’s commercial operation date on more favourable terms, enabling it to lower its weighted average cost of borrowings over time. Additionally, it structures project financing basis with tenors of 15 to 20 years, aligning closely with its PPA durations.
Risks and concerns
History of losses & profitability volatility risk: In Fiscals 2024 and 2023, the company incurred restated loss for the year of Rs 376.43 million and Rs 594.73 million respectively and generated profits in Fiscal 2025 and during the six months ended September 30, 2025 and September 30, 2024. Further, some of its Subsidiaries have incurred losses in the six months ended September 30, 2025 and Fiscals 2025, 2024 and 2023. If it is unable to generate adequate cash profits and make scheduled loan repayments, it may not be able to maintain its profitability.
Customer concentration with scaling exposure risk: The company’s top 10 customers, all of whom are based in India, contributed 34.95%, 38.55%, 36.16%, 45.39% and 44.32% of its Revenue from operations in the six months ended September 30, 2025 and September 30, 2024 and Fiscals 2025, 2024 and 2023, respectively. The proportion of Operational Capacity attributed to its top 10 customers is expected to increase as it begins commissioning projects under construction with certain of such customers. Any failure to maintain renew or enter into new engagements with its top 10 customers could have a material adverse impact on its operations and financial condition.
Geographic revenue dependence on two key states: The company’s operational projects located in the States of Karnataka and Gujarat contributed an aggregate of 77.16%, 78.76%, 79.71% and 66.91% of its revenue from Renewable Energy Power Sales in the six months ended September 30, 2025, Fiscals 2025, 2024 and 2023, respectively. Any adverse developments including changes in the regulatory framework affecting such states may have a heightened impact on its business, cash flows, financial condition and results of operations.
EPC execution risk due to supplier dependence: The company’s ability to deliver projects in a timely manner depends on its ability to secure key equipment from suppliers in a timely manner and the cost of solar modules and wind turbine generators, and any delays in the procurement of such equipment may result in project delays and cost overruns and subject it to penalties. While its top-10 suppliers as of September 30, 2025 are based in India, in the future, it may need to source certain supplies from outside India, which may increase its operating and logistic costs.
Outlook
Clean Max Enviro Energy Solutions is India’s largest commercial and industrial (C&I) renewable energy provider as of March 31, 2025. Its key offerings include supplying renewable power, providing energy services, and offering carbon credit solutions. It caters to a wide range of customers, including Technology customers and conventional C&I customers. The company has comprehensive suite of customer-centric capabilities. It has efficient capital allocation and risk management. On the concern side, the company’s top 10 customers, all of whom are based in India contributed significant revenue from operations. Any failure to maintain renew or enter into new engagements with its top 10 customers could have a material adverse impact on its operations and financial condition. Moreover, a decline in environmental or physical conditions and seasonal variability surrounding its project sites could adversely affect its business, cash flows, financial condition and results of operations.
The issue has been offering 3,10,33,328 shares in a price band of Rs 1000-1053 per equity share. The aggregate size of the offer is around Rs 3103.33 crore to Rs 3267.81 crore based on lower and upper price band respectively. Minimum application is to be made for 14 shares and in multiples thereon, thereafter. On performance front, the company’s total income increased by 12.98% to Rs 16,103.42 million in Fiscal 2025 from Rs 14,253.09 million in Fiscal 2024, primarily due to an increase in its revenue from Renewable Energy Power Sales. Moreover, the company’s restated profit for the year was Rs 194.29 million in Fiscal 2025 from its restated loss of Rs 376.43 million in Fiscal 2024.
The company aims to expand its leadership in the C&I renewables space, driven by India’s accelerating green energy adoption. C&I renewable penetration is expected to rise from 7% in Fiscal 2023 to 20% by Fiscal 2030. It plans to leverage its execution track record, Pan-India presence, and flexible solutions to capture this growth, including proactively developing land and wind & solar evacuation pipelines for STU and CTU projects across 11 high-potential states, which together account for approximately 80% of India’s C&I energy consumption which are Karnataka, Gujarat, Maharashtra, Tamil Nadu, Haryana, Chhattisgarh, Rajasthan, Telangana, Andhra Pradesh, Uttarakhand, and Haryana. Beyond India in the past seven years, it has expanded into Thailand, United Arab Emirates and Bahrain. It continues to evaluate opportunities to expand into new geographies, including Saudi Arabia.
