Coal India Ltd (CIL) has officially filed the Draft Red Herring Prospectus (DRHP) for the initial public offering (IPO) of its wholly owned subsidiary, Bharat Coking Coal Ltd (BCCL). The IPO will be a pure offer for sale (OFS) of 46.57 crore equity shares, with no fresh issuance, meaning all proceeds will go directly to Coal India.
Key Highlights of the BCCL IPO
- OFS Structure: Coal India will offload 46.57 crore shares, ensuring that no new equity is issued.
- Market Listing: Upon approval, BCCL will be listed on NSE and BSE, enhancing market visibility and operational autonomy.
- Lead Managers: ICICI Securities and IDBI Capital Markets are the book-running lead managers, while KFin Technologies will act as the registrar.
- CMPDI IPO Connection: This filing follows the DRHP submission for Central Mine Planning & Design Institute (CMPDI), another Coal India subsidiary, which plans to offload 7.14 crore shares through an OFS-based IPO.
Strategic Impact and Future Prospects
The BCCL IPO aligns with Coal India’s broader strategy to unlock value from its subsidiaries, offering investors exposure to India’s growing coal and energy sectors. With BCCL specializing in high-grade coking coal, the listing is expected to boost transparency and operational independence.
For more updates on India’s IPO market and energy sector, stay tuned!
