Mahanadi Coalfields Files DRHP For IPO; Coal India To Sell 66.18 Crore Shares
Add Preferred News Source
Mahanadi Coalfields, a wholly owned subsidiary of Coal India, has filed draft papers with SEBI for a proposed IPO. It comprises an offer for sale of 66.18 crore equity shares. The company is proposed to be listed on the BSE and NSE.
Mahanadi Coalfields Limited filed its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) on 31 August 2026 for a proposed initial public offering (IPO).
The issue will comprise only an offer for sale (OFS) by the parent company, Coal India Limited. The proposed Mahanadi Coalfields IPO will not raise fresh capital for the company.
Coal India will sell 66.18 crore equity shares through the OFS, with the entire net proceeds accruing to the parent company.
Coal India shares opened at ₹408.20 on the National Stock Exchange (NSE) on 2 September 2026. The stock gained in early trade, touching an intraday high of ₹419.65 by 10:52 am.
Mahanadi Coalfields Limited IPO Details
IPO type | OFS |
Shares on offer | 66.18 crore equity shares |
Fresh issue | None |
Selling shareholder | Coal India |
Proposed listing | BSE and NSE |
Merchant bankers | SBI Capital Markets, Axis Capital, BOB Capital Markets, IDBI Capital Markets & Securities, IIFL Capital Services |
Mahanadi Coalfields’ Production In FY26
The company produced 218.31 million tonnes (MT) of coal in FY26. This represented approximately 22.40% of India's total non-coking coal production, according to a Credit Rating Information Services of India Limited (CRISIL) report.
The company's Talcher and Ib Valley coalfields in Odisha have estimated coal resources of 106.76 billion tonnes. Its audited reserves stood at 9,840.31 MT, which the company estimates could support production for around 45 years at its current production level.
Mahanadi Coalfields Reported Mixed Financial Performance
Mahanadi Coalfields has posted a profit of ₹2,399 crore for the quarter ended June 2026, a 2% dip from ₹2,448.3 crore in the corresponding period a year earlier. Revenue, however, increased 6.4% to ₹8,033.8 crore from ₹7,548.4 crore.
For FY26, profit declined 1.2% to ₹10,698.1 crore, while revenue fell 2.6% to ₹30,549.6 crore.
If the IPO listing goes ahead, Mahanadi Coalfields will become the third Coal India subsidiary to trade on the stock exchanges. It would follow Central Mine Planning & Design Institute and Bharat Coking Coal among Coal India's eight subsidiaries.
Also Read - September Lock-In Expiry: Shares Worth $2.3 Billion Set To Unlock
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
Vishwa has spent 10+ years across fintech and FMCG doing what most people miss, connecting the dots, catching trends before they trend, and finding the angle nobody else thought to ask about.
At Kotak Neo, she drives content strategy for neoshorts, Kotak News Desk, and Investing Guide, turning market noise into something worth reading.
When she's not decoding markets, she trades charts for canvases, chasing art, painting, and architecture across cities she's yet to explore.
Right Tools, Rich Insights
