🧨 At a glance:
Yes, PSU fans, it’s happening again. On 30th May 2025,Coal India Ltd (CIL)filed theDraft Red Herring Prospectus (DRHP)with SEBI for its wholly owned subsidiaryBharat Coking Coal Limited (BCCL). The IPO will be anOffer for Sale (OFS)of46.57 crore sharesby Coal India itself — no fresh issue, just pure government exit vibes. 💸
🏢 About BCCL — The Coke That Fuels the Nation
- Full Name:Bharat Coking Coal Limited
- Parent:100% subsidiary ofCoal India Limited
- Business:Primarily focused oncoking coal mining— the high-carbon coal used insteelmaking
- Location:Based in Dhanbad, Jharkhand — India’s coal capital
- Why important:Supplies key coking coal toSAIL,Tata Steel, and other steel giants
Coking coal is a critical input for the steel industry, and with India chasing infrastructure dreams (like 100 Vande Bharats, 6 new expressways per week, and ₹10 lakh crore in capex),BCCL is the guy
with the lighter at the rocket launchpad.
📜 DRHP Highlights: What’s in This IPO?
| Item | Details |
|---|---|
| 📅 DRHP Filed | 30th May 2025 |
| 🏢 Company | Bharat Coking Coal Ltd (BCCL) |
| 👪 Parent | Coal India Limited |
| 🪙 IPO Type | Offer for Sale (OFS) |
| 📊 Size | Up to 465.7 million equity shares |
| 💰 Fresh Issue? | Nope, all OFS by Coal India |
| 📝 Status | Awaiting SEBI, BSE, NSE approvals |
This meansCoal India won’t raise fresh funds— instead, it plans tounlock value by offloading its stakein BCCL, likely to fund its own modernization or plug fiscal gaps for the government. Classic PSU playbook.
📉 What Does This Mean for Coal India Investors?
Coal India (CIL) closed at₹397.40on 31 May 2025, slightly down by 0.20%. But…
🧠 Here’s what to watch:
- This IPO couldunlock hidden valueof its subsidiaries.
- It mightclean up
