Coal India gets nod for Mahanadi Coalfields listing with up to 25% stake sale via IPO, OFS – CNBC TV18

The nation’s largest coal producer, Coal India Ltd, on Friday (Could 15), mentioned the Division of Funding and Public Asset Administration (DIPAM) has authorized the proposal for the listing of Mahanadi Coalfields Ltd (MCL) by a mixture of contemporary fairness issuance (IPO) and disinvestment by Coal India by a suggestion for sale (OFS).

The proposal, processed by DIPAM and the Ministry of Coal based mostly on approvals from the boards of Coal India Ltd and MCL, relates to the listing of Mahanadi Coalfields Ltd within the home market underneath SEBI guidelines and rules.

As per the authorized construction, Coal India Ltd might disinvest its stake in Mahanadi Coalfields Ltd by an OFS of present shares as a part of the IPO and subsequently in a number of tranches.

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Mahanadi Coalfields Ltd might increase capital by contemporary difficulty of fairness shares as a part of the IPO and/or by subsequent FPOs, QIPs or different SEBI-authorized strategies.

The disinvestment and capital elevating could also be undertaken both concurrently or individually, in a number of tranches, with the general restrict set at decreasing Coal India Ltd’s shareholding in MCL by up to 25%. The listing course of will stay topic to prevailing market circumstances and completion of all statutory and regulatory formalities.

The Prime Minister’s Workplace (PMO) has directed the coal ministry to be sure that all subsidiaries of CIL are listed on inventory exchanges by 2030. The transfer is aimed toward streamlining oversight, enhancing transparency, and unlocking worth by asset monetisation.

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Coal India, which accounts for over 80% of India’s home coal manufacturing, presently operates by eight subsidiaries: Japanese Coalfields Ltd, Bharat Coking Coal Ltd (BCCL), Central Coalfields Ltd, Western Coalfields Ltd, South Japanese Coalfields Ltd (SECL), Northern Coalfields Ltd, MCL, and Central Mine Planning & Design Institute Ltd (CMPDIL).

The Coal India board had earlier given in-precept nod for divesting up to 25% of its fairness stake in SECL by Provide for Sale (OFS), alongside a contemporary issuance of up to 10% fairness by preliminary public supply or different market routes. Bharat Coking Coal Ltd was efficiently listed on inventory exchanges in January 2026, and Central Mine Planning & Design Institute Ltd was listed on the NSE and BSE on March 30, 2026.

Shares of Coal India Ltd ended at ₹462.15, up by ₹8.35, or 1.84%, on the BSE at this time, Could 15.