Introduction
The Indian equity markets are set to witness one of the largest IPOs of 2025 from the recycling and non-ferrous metals sector. Jain Resource Recycling IPO is creating strong buzz thanks to its scale, global presence, and consistent growth trajectory. With an issue size of ₹1,250 crore, the IPO combines both a fresh issue of shares to raise growth capital and a significant offer for sale (OFS), allowing promoters to partially monetize their holdings.
The company operates in a high-entry-barrier industry, with strong positioning in recycling and refining of metals like lead, copper, and aluminium, along with a foray into precious metals through its UAE subsidiary. Backed by robust financials and marquee global customers, Jain Resource Recycling IPO is being keenly tracked by institutional as well as retail investors.
Let’s dive deep into all the details — from IPO structure and timelines to financials, peer comparisons, GMP updates, and investment outlook.
IPO Overview- Jain Recycling IPO
Jain Resource Recycling IPO Details
| Particulars | Details |
|---|---|
| IPO Size | ₹1,250.00 crore |
| Fresh Issue | ₹500.00 crore (2.16 crore shares) |
| Offer for Sale | ₹750.00 crore (3.23 crore shares) |
| Price Band | ₹220 – ₹232 per share |
| Face Value | ₹2 per share |
| Lot Size | 64 shares |
| Minimum Investment (Retail) | ₹14,848 |
| Issue Type | Book-Building |
| Market | BSE, NSE |
| Pre-Issue Shareholding | 32.35 crore shares |
| Post-Issue Shareholding | 34.50 crore shares |
Lead Manager: Dam Capital Advisors Ltd.
Registrar: Kfin Technologies Ltd.
IPO Document: RHP file
Jain Resource IPO Important Dates
| Event | Date |
|---|---|
| IPO Open Date | September 24, 2025 |
| IPO Close Date | September 26, 2025 |
| Allotment Date | September 29, 2025 |
| Refunds Initiation | September 30, 2025 |
| Shares Credit to Demat | September 30, 2025 |
| Listing Date | October 1, 2025 |
| Cut-off time for UPI mandate | 5 PM, September 26, 2025 |
Objects of the Issue
The company proposes to utilize the net proceeds as follows:
- Pre-payment or repayment of borrowings: ₹375 crore equivalent
- General corporate purposes
The fresh issue proceeds will reduce debt levels, improve the debt-to-equity ratio, and strengthen the balance sheet, while OFS enables partial promoter exit.
Company Background- Jain Resource Recycling IPO
Founded in 2022, Jain Resource Recycling Ltd. is a fast-growing player in the non-ferrous metal recycling and manufacturing space. The company’s product basket includes lead and lead alloy ingots, copper and copper ingots, aluminium and aluminium alloys, tin ingots, and plastics.
Its three state-of-the-art recycling facilities at SIPCOT Industrial Estate, Gummidipoondi (Chennai) handle multiple scrap streams, including:
- Copper scrap (birch, druid)
- Lead scrap (radio, relay, rains, rinks)
- Aluminium scrap (tread, talon, tense)
Additionally, the company operates a gold refining facility through its UAE subsidiary JIGV, situated in the Sharjah Airport International Free Zone (SAIF-Zone), giving it global scale and access to Middle Eastern and Asian markets.
Customers & Markets
The company has built a strong client roster including Vedanta Sterlite Copper, Luminous Power Technologies, Yash Resources Recycling, Mitsubishi Corporation Japan, and Nissan Trading Co.
Its products find applications across diverse industries:
- Lead-acid batteries
- Electricals & electronics
- Automotive
- Pigments & specialty applications
With exports to Singapore, China, Japan, and South Korea, Jain Resource Recycling has cemented its presence in both domestic and global markets.
As of July 2025, it employs 411 skilled professionals.
Financials of Jain Resource Recycling IPO
| Particulars (₹ Cr) | FY23 | FY24 | FY25 | CAGR (FY23–FY25) |
|---|---|---|---|---|
| Revenue | 3,107.53 | 4,484.84 | 7,162.15 | ~53% |
| EBITDA | 124.18 | 227.22 | 368.58 | ~70% |
| PAT | 91.81 | 163.83 | 223.29 | ~55% |
| Net Worth | 196.97 | 367.18 | 707.46 | — |
| Total Assets | 1,115.96 | 1,528.76 | 1,836.24 | — |
| Total Borrowing | 732.79 | 909.38 | 919.92 | — |
The company has tripled revenue in 3 years and maintained profit growth above 50% CAGR, making it one of the most aggressive growth stories in the recycling space.
Key Performance Indicators of Jain Recycling IPO
| KPI | Value |
|---|---|
| Market Cap (at upper band) | ₹8,005.99 Cr |
| EPS (Pre-Issue) | ₹6.90 |
| EPS (Post-Issue) | ₹6.47 |
| P/E (Pre-Issue) | 33.62x |
| P/E (Post-Issue) | 35.86x |
| ROE | 40.77% |
| ROCE | 24.22% |
| RoNW | 41.56% |
| PAT Margin | 3.13% |
| EBITDA Margin | 5.17% |
| Debt/Equity | 0.92 |
| P/BV | 20.44 |
Valuation & Peer Comparison- Jain Resource Recycling IPO
| Company | EPS | P/E (x) | RoNW (%) | P/BV |
|---|---|---|---|---|
| Jain Resource Recycling Ltd. | 7.16 | 35.86 | 41.56 | 20.44 |
| Gravita India Ltd. | 45.11 | 37.67 | 22.33 | 6.22 |
| Pondy Oxides & Chemicals Ltd. | 22.03 | 55.24 | 12.71 | 5.68 |
Analysis:
- Jain Resource shows highest RoNW (41.56%), reflecting excellent capital efficiency.
- However, its P/BV of 20.44 makes it look expensive vs peers, suggesting valuations are stretched.
- Gravita remains a more established peer, but Jain is growing at a faster pace.
Strengths & Weaknesses
| Strengths | Risks / Weaknesses |
|---|---|
| Strong revenue growth with global customer base | High valuation multiples compared to peers |
| Diversified product portfolio (lead, copper, aluminium, gold) | Low PAT margins (3.1%) despite revenue surge |
| Modern recycling facilities in India & UAE | Industry exposed to commodity price volatility |
| Global presence with exports to Asia | Heavy reliance on debt (₹919 Cr borrowings) |
| Robust RoE and RoNW above 40% | OFS component (₹750 Cr) means promoter partial exit |
Jain Resource Recycling IPO GMP / Grey Market Premium
| Date | IPO Price | GMP | Est. Listing Price | Est. Profit |
|---|---|---|---|---|
| Sept 24, 2025 | ₹232 | ₹30 | ₹262 | ₹1,920 (12.9%) |
Interpretation:
The GMP of ₹30 indicates a 12–13% premium over issue price, suggesting moderately positive listing expectations. However, GMP trends need monitoring as large issue sizes often see tempered retail enthusiasm.
Conclusion / Outlook
The Jain Resource Recycling IPO is a large-cap debut from the recycling sector with strong fundamentals, rapid growth, and global exposure. While the company has delivered stellar financial performance and enjoys high returns on equity, the IPO comes at a rich valuation relative to peers.
- For long-term investors: The IPO provides exposure to the growing circular economy and recycling theme, with Jain well-positioned in non-ferrous and precious metals.
- For listing gains seekers: Moderate premium in GMP signals a positive but not blockbuster listing.
- Caution: Watch out for high leverage, thin PAT margins, and premium valuation.
Final Verdict: Jain Resource Recycling IPO is worth considering for investors with a medium-to-long-term horizon who believe in the recycling growth story.
FAQs on Jain Resource Recycling IPO
1. What is the size of the Jain Resource Recycling IPO?
The total issue size is ₹1,250 crore, comprising a fresh issue of ₹500 crore and an offer for sale (OFS) of ₹750 crore.
2. What are the IPO dates for Jain Resource Recycling IPO?
The IPO opens on September 24, 2025, and closes on September 26, 2025. The tentative listing date is October 1, 2025.
3. What is the price band of the Jain Resource Recycling IPO?
The price band is set at ₹220 to ₹232 per share.
4. What is the lot size and minimum investment for retail investors?
The lot size is 64 shares, requiring a minimum investment of ₹14,848 at the upper band.
5. Who are the lead manager and registrar for the issue?
- Lead Manager: Dam Capital Advisors Ltd.
- Registrar: Kfin Technologies Ltd.
6. What will be the promoter holding after the IPO?
Promoter holding will reduce from 89.96% pre-issue to a lower level post-issue (exact dilution depends on final allotment).
7. What are the key financials of Jain Resource Recycling?
For FY25, the company reported:
- Revenue: ₹7,162 crore
- PAT: ₹223 crore
- EBITDA: ₹368 crore
- ROE: 40.77%
- Debt-to-Equity: 0.92
8. How does Jain Resource Recycling compare with peers?
Compared to peers like Gravita India and Pondy Oxides, Jain has:
- Higher RoNW (41.56%)
- Expensive P/BV ratio (20.44)
- Moderate P/E (35.86x)
9. What is the GMP (Grey Market Premium) for the IPO?
As of September 24, 2025, the GMP is around ₹30, suggesting a potential 12–13% listing gain.
10. Should you apply for Jain Resource Recycling IPO?
It depends on your investment horizon:
- For listing gains: Possible moderate upside.
- For long term: Strong growth story in recycling but valuations are rich and margins are thin.
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