India’s sole producer of coking coal, Bharat Coking Coal Limited (BCCL), is set to launch its Initial Public Offering (IPO) this week. The company’s shares are seeing strong demand in the grey market, with the Grey Market Premium (GMP) exceeding 70%.
IPO Details
BCCL, a subsidiary of Coal India Limited, is the country’s leading coal-producing company. This IPO will mark the first mainboard IPO of 2026. The public issue will open on Friday, 9 January, with the company aiming to raise ₹1,071 crore.
The IPO is a fully Offer-for-Sale (OFS), with Coal India Limited planning to sell 46.57 crore equity shares at a price band of ₹21 to ₹23 per share (face value: ₹10 each). Following the IPO, BCCL shares will be listed on both the BSE and NSE mainboard.
Grey Market Response
BCCL’s IPO has garnered significant interest in the grey market. As of Monday morning, the GMP stood at 70.87%, implying a potential profit of ₹16.30 per share over the upper issue price of ₹23.
Application Timeline
Bids from anchor investors will open on Thursday, 8 January, followed by the IPO opening for the general public on Friday, 9 January, and closing on Tuesday, 13 January. Eligible employees will receive a discount of ₹1 per share.
Employee and Shareholder Reservation
The IPO includes a reservation of up to 2.32 crore shares for eligible employees and up to 4.66 crore shares under the shareholder reservation for Coal India shareholders. The remaining shares will be allocated according to SEBI regulations among Qualified Institutional Buyers (QIBs), Non-Institutional Investors (NIIs), and Retail Individual Investors (RIIs). QIB allocation will not exceed 50%, while NII and RII allocations will be at least 15% and 35%, respectively.
About Bharat Coking Coal Limited
Established in 1972, BCCL is India’s largest coking coal producer, operating mainly in the Jharia coalfield in Jharkhand and the Raniganj coalfield in West Bengal. The company was awarded the Mini Ratna status in 2014. BCCL produces both raw and washed coal, which is used in the steel, power, and cement industries.
Financially, BCCL reported a net profit of ₹1,240 crore in FY25, down from ₹1,564 crore in FY24. In the first half of FY26, the company earned ₹124 crore in profit, compared to ₹749 crore in the same period last year. Revenue for FY25 stood at ₹13,803 crore, slightly lower than ₹14,246 crore in FY24. The first half of FY26 recorded ₹5,659 crore in revenue, down from ₹6,846 crore in H1 FY25.
IPO Lead Managers and Registrar
The book-running lead managers for the IPO are IDBI Capital Markets and Securities and ICICI Securities. KFin Technologies has been appointed as the IPO registrar.
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