Coal India is working on coal gasification and mining projects. The goal of Bharat Coking Coal Limited’s (BCCL) ₹1,300 crore initial public offering (IPO) is to increase transparency and unleash wealth. The debt-free business has greatly boosted output, supporting India’s energy industry.
BCCL IPO: A significant PSU company is getting ready to go public on Dalal Street, possibly starting India’s 2026 IPO market calendar with a prominent public sector listing. Bharat Coking Coal Limited (BCCL), a division of Coal India, is getting ready to make its IPO. The issue may go on sale in the next two weeks, according to media reports.
The proposed listing of BCCL, a Maharatna public sector subsidiary of Coal India, is anticipated to be a significant step in the government’s larger effort to use the capital markets to extract value from state-owned businesses.
BCCL IPO: Current knowledge
A pre-listing valuation of about ₹13,000 crore is implied by media reports that the Bharat Coking Coal IPO size is projected to be around ₹1,300 crore. With Coal India intending to dilute about 10% of its equity position in BCCL, the issue is anticipated to be a pure offer-for-sale (OFS). This corresponds to the sale of equity shares worth around 46.57 crore.
The full IPO proceeds will go to Coal India rather than Bharat Coking Coal because no new shares are being sold. Through market engagement, the share sale seeks to increase transparency and unleash value.
It is anticipated that important information will be revealed closer to the IPO debut, including the price range, lot size, and final issue structure. KFin Technologies will serve as the registrar, and ICICI Securities and IDBI Capital Markets and Securities have been designated as the book-running lead managers. The listing was made possible by the Securities and Exchange Board of India (Sebi) approving BCCL’s draft red herring prospectus in September.
The appointment of six independent directors to BCCL’s board is a crucial regulatory need that is still waiting. Before the firm files its final red herring prospectus, these roles must be filled. According to sources, in order to keep the listing process moving forward, the Coal Ministry has brought up this matter with Cabinet Secretary TV Somanathan and requested faster appointments.
Concerning Bharat Coking Coal
One of India’s leading manufacturers of coking coal, a vital raw material mostly utilized in the production of steel, is Bharat Coking Coal. Additionally, the company produces cleaned and non-coking coal, mostly for the steel and electricity industries.
Two of India’s richest coal-bearing locations, the Jharia coalfields in Jharkhand and the Raniganj coalfields in West Bengal, are the focus of BCCL’s mining operations, which were established in 1972.
In recent years, the corporation has increased production steadily. Over the course of three years, coal output increased by over 33%, from 30.51 million tonnes in FY22 to 40.50 million tonnes in FY25. BCCL exceeded its previous production records in FY24, producing 39.11 million tonnes of coking coal and 1.99 million tonnes of non-coking coal.
Bharat Coking Coal recorded operating revenue of about ₹14,000 crore for the year that ended in March 2025, which was largely consistent with previous years. While net value increased to ₹6,551 crore from ₹3,791 crore two years prior, profit for the year was ₹1,240 crore. Interestingly, the company’s financial sheet shows no borrowings, indicating that it is debt-free.
Coal India background
With seven coal-producing subsidiaries, including BCCL, Coal India accounts for more than 80% of the nation’s domestic coal production, making it a key player in India’s energy ecology. Coal India’s plan to extract value from its subsidiaries is in line with the proposed listing.
One of the biggest projects is a 1,600 MW pithead power project in Odisha, which is currently acquiring land and is expected to cost about ₹16,000 crore. Under a 50:50 joint venture arrangement, another power project is being developed in collaboration with Damodar Valley Corporation.
FAQs on Bharat Coking Coal Limited (BCCL) IPO
What is the BCCL IPO?
The Bharat Coking Coal Limited (BCCL) IPO is a proposed public issue by Coal India’s subsidiary, expected to be one of the first major PSU IPOs of 2026. The listing aims to unlock value and improve transparency through market participation.
When is the BCCL IPO expected to launch?
According to media reports, the BCCL IPO may open within the next two weeks, potentially kickstarting India’s IPO calendar for 2026.
What is the expected size of the BCCL IPO?
The IPO size is estimated at around ₹1,300 crore, implying a pre-listing valuation of nearly ₹13,000 crore for Bharat Coking Coal Limited.
Is the BCCL IPO a fresh issue or an offer for sale (OFS)?
The BCCL IPO is expected to be a pure Offer for Sale (OFS), with Coal India diluting around 10% of its equity stake in the subsidiary.
Who will receive the proceeds from the BCCL IPO?
Since the IPO is an OFS, all proceeds will go to Coal India, not to Bharat Coking Coal Limited. No new shares will be issued.
How many shares are expected to be sold in the IPO?
Coal India is likely to sell approximately 46.57 crore equity shares as part of the public issue.
What is the objective behind listing Bharat Coking Coal?
The proposed listing is part of the government’s broader strategy to unlock value from state-owned enterprises, improve governance, and enhance transparency through capital markets.
Who are the lead managers and registrar for the BCCL IPO?
Book-running lead managers: ICICI Securities and IDBI Capital Markets & Securities
Registrar: KFin Technologies
Has SEBI approved the BCCL IPO?
Yes. The Securities and Exchange Board of India (SEBI) approved BCCL’s Draft Red Herring Prospectus (DRHP) in September.
What regulatory requirements are still pending for the IPO?
The appointment of six independent directors to BCCL’s board is still pending. This is a key regulatory requirement that must be fulfilled before filing the final red herring prospectus.
What steps are being taken to expedite the IPO process?
The Coal Ministry has raised the issue of pending board appointments with Cabinet Secretary T.V. Somanathan to fast-track the listing process.
What does Bharat Coking Coal Limited do?
BCCL is one of India’s leading producers of coking coal, a critical raw material for the steel industry. It also produces non-coking and washed coal for power and industrial use.
Where are BCCL’s mining operations located?
BCCL operates primarily in:
Jharia coalfields, Jharkhand
Raniganj coalfields, West Bengal
These are among India’s richest coal-bearing regions.
How has BCCL’s production grown in recent years?
Coal production increased by over 33% in three years, rising from 30.51 million tonnes in FY22 to 40.50 million tonnes in FY25. The company also surpassed earlier records in FY24.
What are BCCL’s financial highlights?
Operating revenue (FY25): ~₹14,000 crore
Net worth: ₹6,551 crore (up from ₹3,791 crore two years earlier)
Profit (FY25): ₹1,240 crore
Debt status: Debt-free company
How is Coal India linked to the BCCL IPO?
Coal India, a Maharatna PSU, owns BCCL and produces over 80% of India’s domestic coal through its seven subsidiaries. The BCCL IPO aligns with Coal India’s plan to monetize and unlock subsidiary value.
What major projects is Coal India currently working on?
Coal India is developing:
A 1,600 MW pithead power project in Odisha (estimated cost ₹16,000 crore)
A joint power project with Damodar Valley Corporation under a 50:50 JV model
Coal gasification and advanced mining initiatives
