Tenneco Clean Air IPO: From price band to GMP, here's all you need to know

As investors await the subscription window to open, here are some key details from the Red Herring Prospectus (RHP) of Tenneco Clean Air India

The initial public offering (IPO) of Tenneco Clean Air India, a manufacturer of clean air and exhaust system products catering to automotive applications, will open for public subscription on Wednesday, November 12, 2025.

 

Through its maiden share sale, the Indian arm of Tenneco Inc. aims to raise ₹2,900 crore, entirely through an offer-for-sale (OFS) of equity shares. The anchor book will open a day earlier, on Tuesday, November 11, 2025.

Issue structure

The public issue is a book-built offering, comprising a complete OFS by promoter Tenneco Mauritius Holdings, which will offload up to 90.7 million equity shares valued at around ₹3,600 crore.

 

 

In line with regulatory norms, not less than 50 per cent of the net offer is reserved for qualified institutional buyers (QIBs), not less than 35 per cent for retail investors, and not less than 15 per cent for non-institutional investors (NIIs).

Tenneco Clean Air IPO Price band and lot size

The issue will be offered in a price band of ₹378–₹397 per share, with a lot size of 37 shares. Retail investors can apply for a minimum of one lot (37 shares), requiring an investment of ₹14,689. The maximum permissible application for retail investors is 13 lots (481 shares), amounting to ₹1,90,957.  ALSO READ | Final Hours! Groww IPO closes today; check latest subscription status, GMP

Tenneco Clean Air IPO Grey market premium

According to sources tracking the unlisted market, shares of Tenneco Clean Air were trading at ₹493 apiece, implying a grey market premium (GMP) of ₹96 per share, or 24.18 per cent over the upper end of the issue price band.

Allotment and listing schedule

The issue will close on Friday, November 14, 2025. The basis of allotment is likely to be finalised on Monday, November 17, 2025, while shares are expected to be credited to demat accounts on Tuesday, November 18, 2025.

 

The stock is slated to debut on the BSE and NSE on Wednesday, November 19, 2025.

Objective of the issue

As the IPO is a pure OFS, the company will not receive any proceeds from the offer. “All the Offer Proceeds will be received by the Promoter Selling Shareholder after deduction of offer-related expenses and applicable taxes,” the company said in its RHP.   ALSO READ | Pine Labs IPO opens for bidding: Check GMP, price band, key dates, review

Tenneco Clean Air IPO Lead managers and registrar

JM Financial, Citigroup Global Markets India, Axis Capital, and HSBC Securities and Capital Markets (India) are the book-running lead managers to the issue, while MUFG Intime India (formerly Link Intime India) is the registrar.

Financial performance

In Fiscal 2025, Tenneco Clean Air reported a restated profit after tax (PAT) of ₹553.14 crore, up from ₹416.79 crore in FY24 and ₹381.04 crore in FY23 — a compound annual growth rate (CAGR) of 20.48 per cent.

 

For the quarter ended June 30, 2025, PAT stood at ₹168.09 crore, compared with ₹150.31 crore in the corresponding period of the previous year.

 

PAT margins (as a per cent of revenue from operations) improved to 11.31 per cent in FY25 from 7.89 per cent in FY23, reaching 13.07 per cent in Q1 FY26. On a value-added revenue basis, PAT margins rose from 9.77 per cent in FY23 to 12.63 per cent in FY25, and further to 14.41 per cent in Q1 FY26.

 

Ebitda margins, as a per cent of revenue from operations, expanded to 16.67 per cent in FY25 from 11.19 per cent in FY24 and 11.82 per cent in FY23, touching 17.80 per cent in Q1 FY26. On a value-added revenue basis, Ebitda margins stood at 18.61 per cent in FY25 and 19.62 per cent in Q1 FY26, according to the RHP.

Tenneco Clean Air Company profile

Tenneco Clean Air India forms part of the Tenneco Group, a US-headquartered global Tier-I automotive component supplier. The company designs, manufactures, and supplies clean air, powertrain, and suspension solutions for Indian OEMs and export markets.

 

Its client base spans passenger vehicles (PVs), commercial vehicles (CVs) — including commercial trucks (CTs) and off-highway vehicles (OHVs) — as well as industrial and other applications such as generator sets, small commercial vehicles (under 3.5 tonnes), two-wheelers, and three-wheelers.