Coal India is preparing the Mahanadi Coalfields IPO for the second half of November or early December 2026. This is as per a Bloomberg report carried by Moneycontrol on 3 November. The issue could raise as much as $1 billion.
The report is based on people familiar with the matter. Coal India and Mahanadi Coalfields did not comment, and the size, valuation and timing could still change.
What is known about the Mahanadi Coalfields IPO?
Some details come from the draft prospectus filed with SEBI. Others come from the people quoted in the report. The table keeps the two apart.
| Detail | What is reported | Source |
|---|---|---|
| Structure | Entirely an offer for sale (OFS), no fresh issue | Draft prospectus |
| Seller | Coal India, which owns 100% today | Draft prospectus |
| Shares on offer | Up to 661.84 million, a 10% stake | Draft prospectus |
| Lead managers | SBI Capital Markets, Axis Capital, BOB Capital Markets, IDBI Capital Markets & Securities, IIFL Capital Services | Draft prospectus |
| Timing | Second half of November or early December | People familiar |
| Size | Up to $1 billion | People familiar |
| Valuation | Up to $10 billion | People familiar |
Because it is an OFS, the money goes to Coal India and not to Mahanadi Coalfields. The company itself will not receive fresh funds.
Why is the stake only 10%?
In May, Coal India got approval to cut its holding by up to 25%. We covered that in our post on the Alternative Mechanism nod. The draft prospectus now shows a first sale of 10%.
Later sales are still possible under that approval. This is our reading of the two documents, and neither the company nor the report says so directly.
What does the company do?
Mahanadi Coalfields was India's largest coal producer by output in the year to March 2026. The prospectus says it produced 218.31 million tonnes. That was about 22.4% of the country's non-coking coal output.
As of 30 June, it ran 17 mines. Fourteen are open-cast and three are underground.
Where it fits in the IPO pipeline
The report says Indian companies have raised about $18.48 billion through IPOs in 2026. The record for a year is $22.36 billion, set in 2025. Several offerings are lined up for November and December.
Coal India's other unit, South Eastern Coalfields, has also filed for an IPO. See our report on its DRHP, the draft papers filed with SEBI.
What happens next
No dates, price band or lot size have been announced. These come with the RHP, the final offer document, shortly before the issue opens. We will update when the company confirms.
Track the pipeline on our upcoming mainboard IPO page. The details here are from a Moneycontrol report.
