The strong response of investors for the initial public offering of Bharat Coking Coal Ltd (BCCL) has sparked a new era of value unlocking for Coal India
Limited (CIL). Following the massive overall subscription of 146.87 times of the BCCL IPO, CIL Chairman-cum-Managing Director B Sairam said that the company is now accelerating plans to list its other subsidiaries. The IPO of BCCL, an arm of Coal India Ltd (CIL), got fully subscribed within minutes of opening for bidding on January 9. Speaking to news agency PTI, Sairam said, “As directed by the government, we would step into the market and look forward to unlocking the true potential of our companies. We will closely study and assess the market dynamics for listing the companies.” BCCL is set for a stock market debut on Monday, January 19. On the subscription of the BCCL’s public issue, Sairam said the "response has been encouraging and has reinforced confidence within the miner". “With an overwhelming response, BCCL's IPO resulted in full subscription within minutes of the opening. The strong investor interest continued unabated till the closure of the offering, with the issue getting subscribed over 146 times. It is a true confidence booster for CIL,” the CIL chief told PTI. Sairam emphasised that the experience will serve as a roadmap as Coal India considers future debuts, though he cautioned that market conditions and valuation would remain the primary deciding factors. “For any company, it is a good idea to look at its market valuation. Stimulated by it (BCCL IPO), we expect a similar response for our other companies as well,” he added. The central government has been encouraging Coal India to unlock shareholder value through the listing of its arms, aligning with the broader agenda for public sector reform. The coal giant has eight wholly owned subsidiaries, seven of which are focused on coal production. Beyond the listing of its coking coal arm, CIL is accelerating the capital market debut of other key subsidiaries.
Central Mine Planning and Design Institute DRHP with SEBI
Central Mine Planning and Design Institute Ltd (CMPDI), CIL’s technical and consultancy arm, has already submitted its draft red herring prospectus (DRHP) to the Securities and Exchange Board of India (SEBI).
That proposed IPO will be an offer for sale of up to 7.14 crore equity shares, representing a 10 per cent stake sale by CIL, with a completion target of March 2026.
In-principle approval for MCL, SECL listing
The CIL board has also granted in-principle approval for the listing of Mahanadi Coalfields Ltd (MCL) and South Eastern Coalfields Ltd (SECL), two of its largest production subsidiaries.
Their listings are targeted for the 2026-27 financial year, following a specific directive from the Ministry of Coal.
Coal India remains the backbone of the country’s energy sector, contributing over 80 per cent of India’s domestic coal production through its various producing and non-producing subsidiaries.
BCCL shares to list on bourses on Monday, January 19
Meanwhile, the highly anticipated market debut of BCCL has been rescheduled from its original listing date of January 16 to January 19.
The decision to postpone the listing comes in the wake of municipal corporation elections in Maharashtra, where both the BSE and the National Stock Exchange (NSE) are headquartered.
