More Stories

Informist, Thursday, Aug. 28, 2025

 

By Avishek Rakshit

 

KOLKATA – Bharat Coking Coal Ltd. and Central Mine Planning and Design Institute Ltd., subsidiaries of Coal India Ltd., plan to file their respective red herring prospectuses with the Securities and Exchange Board of India in November for listing on the bourses, subject to government approvals, Coal India Chairman and Managing Director P.M. Prasad said Thursday.

 

Coal India wholly owns Bharat Coking Coal and Central Mine Planning and Design Institute. In May, both companies had filed their draft red herring prospectuses with SEBI. While Bharat Coking Coal is set to offer 465.7 million shares of face value INR 10 in an offer for sale, Central Mine aims to offer 71.4 million shares of face value INR 2.

 

"The proposed listing is 10-25% of the total value of the subsidiaries," Prasad said in answer to shareholders' queries at Coal India's 51st annual general meeting. "DRHP we have completed, and roadshows we are going to conduct in the next 1-2 months; RHP filing we expecting November 2025 subject to government approvals."

 

The draft red herring prospectus is the first document that is filed with the markets regulator to give potential investors preliminary details about a company's initial public offering without the final pricing. The red herring prospectus is the updated version and includes the final price band and other details approved by the regulator, and must be made public before the offer opens for subscription.

 

The government holds 63.13% stake in Coal India. Other government entities like the Life Insurance Corp. of India hold 9.85% in the company. Thus, the government is the single-largest owner of Coal India and its approval is necessary for any decision taken by the company, including the timing of listing its subsidiaries.

 

Prasad said the roadshows aimed at boosting investor confidence in Coal India's subsidiaries would give an idea of the "market appetite". However, it was not clear if Coal India would decide on the timing of the initial public offers based on the response to the roadshows.

 

Bharat Coking Coal is one among seven coal-producing subsidiaries of the Maharatna company and focuses on mining coking coal that is primarily used in the sponge iron sector. Central Mine is the technical consultancy arm of Coal India and provides technical advisory services to the world's largest coal miner. It also provides consultancy services to companies such as Steel Authority of India Ltd.

 

Thursday, shares of Coal India closed 0.5% up at INR 374.30 on the National Stock Exchange.  End

 

Edited by Rajeev Pai

 

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

 

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.

 

Informist Media Tel +91 (22) 6985-4000

Send comments to feedback@informistmedia.com

 

© Informist Media Pvt. Ltd. 2025. All rights reserved.