Coal India (NSE:COALINDIA) is reportedly preparing to launch an initial public offering (IPO) of its Mahanadi Coalfields subsidiary as early as late November.
The state-controlled producer has begun meeting investors and could open the offering during the second half of November or early December, according to Bloomberg, citing people familiar with the plans.
The sale could raise up to US$1 billion ($1.43 billion) and value Mahanadi at as much as US$10 billion.
However, the proposed timing, size, and valuation remain under discussion and could change. Neither Coal India nor Mahanadi commented on the report.
Mahanadi filed a draft prospectus with India’s securities regulator in September, confirming plans for Coal India to sell up to 661.84 million shares, equivalent to a 10% interest.
The IPO would comprise existing shares held by Coal India rather than newly issued equity. Mahanadi would therefore not receive any of the proceeds.
Mahanadi was India’s largest coal producer by volume during the financial year ended March 2026, producing 218.31 million tonnes. This represented approximately 22.4% of the country’s non-coking coal output.
As of 30 June, the company operated 17 mines, comprising 14 open-cut and three underground operations.
Coal India is an Indian Government-controlled coal producer. Its wholly owned Mahanadi subsidiary operates across the Talcher and Ib Valley coalfields in Odisha.
Write to France Pinzon at Mining.com.au
Main image: Coal India
