Mahanadi Coalfields IPO: Coal India Plans $1 Billion Share Sale After SEBI Clearance; What Investors Should Know

  • Posted: 10 Nov 2026, 12:47 PM IST
  • 2 Min. Read
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Mahanadi Coalfields IPO
Coal India plans a $1 billion Mahanadi Coalfields IPO through a 10% stake sale after SEBI clearance.
Summary

Coal India plans a $1 billion IPO for Mahanadi Coalfields after receiving SEBI clearance. The proposed 10% stake sale comes amid strong investor interest in India's primary market this year.

Coal India plans to launch an initial public offering (IPO) for its subsidiary, Mahanadi Coalfields. The share sale could raise up to $1 billion.The proposed issue could value the coal producer at around $10 billion.

The plan moved forward after the Securities and Exchange Board of India (SEBI) cleared the draft offer documents on 4 November 2026. The IPO could open in the second half of November or early December 2026. However, the company has yet to confirm the launch schedule.

Coal India To Offload 10% Stake Through IPO

Coal India plans to sell up to 66.18 crore equity shares, representing a 10% stake in Mahanadi Coalfields.

The IPO will be entirely an offer for sale (OFS). This means Coal India will receive the proceeds, while Mahanadi Coalfields will not raise fresh capital.

The price band, lot size and subscription dates are yet to be announced. Several investment banks, including SBI Capital Markets and Axis Capital, are managing the issue.

Mahanadi Coalfields Revenue Rises, Profit Declines

Mahanadi Coalfields produced 218.31 million tonnes of coal in FY2025–26. This accounted for around 28.3% of Coal India's total output.

The Odisha-based company operated 17 mines as of 30 June 2026. These included 14 opencast and three underground mines.

Revenue rose 6.4% to ₹8,033.7 crore in the June 2026 quarter, compared with ₹7,548.3 crore a year earlier. Net profit, however, fell around 2% to ₹2,398.7 crore.

Mahanadi Coalfields IPO Follows Jio And NSE Listings

The proposed share sale follows two major IPOs in India. Jio Platforms raised approximately ₹30,188 crore in October 2026, while NSE collected ₹22,562 crore in September.

Indian companies had raised around $18.48 billion through IPOs by early November. The figure is approaching the $22.36 billion raised throughout 2025.

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This article is for informational purposes only and should not be considered investment advice from Kotak Neo. For compliance T&C and disclaimers, Visit www.kotakneo.com/disclaimer

About the Author
Neha Dubey
Neha Dubey

Neha Dubey has spent 6+ years turning market chaos into something readable. At Kotak Neo, she works on IPOs and writes for the Market Ready newsletter — making sense of the markets so you don't have to.

Off the clock, she's chasing good stories, new cuisines, and the occasional impromptu singalong. A believer in small pleasures, with excellent taste for a well-timed splurge.

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