New IPOs Alert: Mahanadi Coalfields, South Eastern Coalfields issues by year-end, says Coal India CMD

The initial public offering of Coal India's subsidiaries, South Eastern Coalfields Ltd and Mahanadi Coalfields Limited, are expected to be completed within the financial year 2026-27, Coal India chairman and managing director B Sairam said on Monday, August 31.

Sairam, in response to the queries by shareholders at the annual general meeting (AGM), said that the proper timeline of the IPO would depend on market conditions and government directions.

In March, the board of directors of Coal India gave its in-principle approval to divest 25% stake each in the South Eastern Coalfields and Mahanadi Coalfields via an offer for sale, along with the issue of up to 10% of South Eastern Coalfields' post-issue paid-up capital as fresh shares through the IPO route.

Mahanadi Coalfields is expected to raise around ₹10,000 crore through its IPO. However, the final issue size would become clear closer to the launch, he said.

The proposed initial share sale of the South Eastern Coalfield would raise around ₹8,000-₹10,000 crore, Sairam added.

Earlier this year, Bharat Coking Coal and Central Mine Planning and Design Institute Ltd (CMPDI), the subsidiaries of Coal India, had debuted on the National Stock Exchange (NSE) and BSE.

Bharat Coking Coal IPO was exclusively an offer for sale of ₹1,068.78 crore by promoter Coal India. The stock, with a market capitalisation of ₹15,740.66 crore, traded 50% higher at ₹33.81 per share from the IPO issue price of ₹23.

The CMPDI IPO was an OFS of 107,100,000 shares aggregating to ₹1,841.45 crore by Coal India. The scrip was up 35% at ₹231.85 a unit from the issue price of ₹172.