Brookfield-backed energy firm Clean Max said to plan reduced IPO

The industry has recently been plagued by valuation challenges as most Indian energy-related stocks that listed last year are trading below their offer prices.

• Clean Max plans IPO in February, cutting deal size to $350-400 million
• Indian energy IPOs struggle with valuations as sector stocks dip below offer prices.
• Brookfield owns 42.9% of Clean Max; multiple banks to manage the IPO

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Clean Max Enviro Energy Solutions Ltd., a renewable energy company backed by Brookfield Corp., is preparing to launch its initial public offering in February with a reduced deal size, according to people familiar with the matter.

The Mumbai-based company is now planning an IPO of about $350 million to $400 million, down from an earlier proposed size of roughly Rs 5,200 crore ($573 million), the people said, asking not to be identified as the information is private. Discussions are ongoing, and details including the timing and size of the offering could still change.

A draft prospectus filed in August outlined plans to raise as much as Rs 1,500 crore through the sale of new shares, alongside a secondary offering of about Rs 3,700 crore from existing investors, including US-based Augment Infrastructure Partners.

A spokesperson for Clean Max didn’t respond to requests for comment.

The industry has recently been plagued by valuation challenges as most Indian energy-related stocks that listed last year are trading below their offer prices. Vikram Solar Ltd. has fallen nearly 28% from the offer price, while Solarworld Energy Solutions Ltd. and Saatvik Green Energy Ltd. are down about 24% and 16%, respectively. Emmvee Photovoltaic Power Ltd. and Fujiyama Power Systems Ltd. are also trading below their offer prices.

“Earnings growth at renewable energy companies has been constrained as transmission infrastructure has failed to keep pace with generation capacity,” said Siddarth Bhamre, head of research at Asit C Mehta Investment Intermediates. “In addition, an oversupply of solar panels has also weighed on pricing, impacting profitability at some firms.”

While deals continue to boom in Asia — particularly in Hong Kong and mainland China — India’s IPO market has had a slower start to the year after companies raised a record $22.36 billion in 2025. About eight companies have raised roughly $160 million so far in January, according to data compiled by Bloomberg. Still, the pipeline remains strong, with more than 200 companies having either received regulatory approval or filed draft prospectuses with the Securities and Exchange Board of India, the regulator’s website shows.

Brookfield owned a 42.9% stake in Clean Max as of August, while Augment held nearly 20%, according to the prospectus.

Axis Bank Ltd., IIFL Capital Services Ltd., BOB Capital Markets Ltd., SBI Capital Markets Ltd., along with Indian units of JPMorgan Chase & Co., BNP Paribas SA, HSBC Holdings Plc and Nomura Holdings Inc., are among the banks managing the share sale, according to the IPO prospectus.