Sebi approves Coal India unit Mahanadi Coalfields IPO

India's capital markets regulator has approved state-run miner Coal India's unit Mahanadi Coalfields' IPO, in what is expected to be one of India's biggest offerings this year.

Here are some key details:

Earlier in September, draft papers filed with the markets regulator showed the parent Coal India, which is the world's largest coal producer, was selling a 10% stake in Mahanadi Coalfields through the unit's IPO.

Coal India is selling up to 661.8 million shares of its unit, the draft prospectus showed.


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The unit operates primarily in eastern Odisha and accounted for 21% of India's overall domestic coal production and 28.4% of Coal India's total coal production in fiscal year 2026.

Coal India, which contributed about 74% of India's total coal production in fiscal 2026, had said in March it could sell up to 25% stakes in subsidiaries Mahanadi Coalfields and South Eastern Coalfields through IPOs or other routes.

Bloomberg reported on November 2 that Coal India is preparing to launch an IPO of Mahanadi Coalfields as early as this month, citing sources. The offering could raise as much as $1 billion and value Mahanadi Coalfields at as much as $10 billion, the report added.

India's capital markets have seen a string of high-profile offerings this year, including those by Jio Platforms and the National Stock Exchange of India, underscoring strong investor appetite for large, marquee listings.