Bharat Coking Coal IPO Date, Price, GMP, Review, Details
Bharat Coking Coal Limited
Bharat Coking Coal IPO Details
IPO Open
9 Jan 2026
IPO Close
13 Jan 2026
Price Band
₹21 – ₹23
Issue Size
₹1,071 Cr
Listing on
BSE, NSE
Min. Lot Size
600
Face value
₹10
GMP
₹11
Key Performance Indicators
Market Cap
₹10,711.10 Cr
P/E
8.64
EPS
₹8.64
RoNW
20.83%
ROCE
30.13%
Sector
Mining
Bharat Coking Coal IPO Timeline
The Bharat Coking Coal IPO listing date is expected to be 16 January 2026, with allotment finalized on 14 January 2026.
Introduction
Bharat Coking Coal Limited is a government-owned mining company engaged in the production and supply of coking coal, a critical raw material used in steel manufacturing. The company operates under Coal India Limited and plays a key role in supporting India’s domestic steel industry.
India’s infrastructure development, housing growth, and manufacturing expansion continue to drive long-term steel demand. Since coking coal has limited substitutes in steelmaking and domestic supply is constrained, companies operating in this segment hold strategic importance.
This IPO is a complete Offer for Sale by Coal India Limited. While it does not raise fresh capital for the company, it gives investors an opportunity to participate in a stable, cash-generating PSU business with predictable demand and strong return ratios, albeit with limited high-growth potential.
About Bharat Coking Coal Limited
Bharat Coking Coal Limited was incorporated in 1972 following the nationalisation of coking coal mines in India. The company was formed to consolidate and manage coking coal operations in the Jharia coalfields. From the beginning, its role was clearly defined to ensure stable domestic supply of coking coal to India’s steel industry. Over the decades, it has evolved into one of the most strategically important operating subsidiaries of Coal India Limited.
Business Model
The company operates on a coal mining and bulk supply business model. It extracts coking coal through opencast and underground mines, processes it using coal washeries, and supplies it to customers under long-term fuel supply agreements. The focus is on volume stability, operational continuity, and assured offtake rather than rapid expansion.
Brand and Market Positioning
Bharat Coking Coal Limited is perceived as a reliable PSU supplier rather than a consumer-facing brand. Its market position is built on assured supply, regulatory alignment, and long-standing relationships with steel manufacturers. Pricing power is limited, but demand visibility remains strong due to the essential nature of coking coal.
Products and Services
Prime coking coal
Medium coking coal
Semi-coking coal
Washed coal
Coal processing by-products
Flagship Offerings
The company’s flagship offering is prime coking coal, which is essential for blast furnace steelmaking. Entry barriers are high due to limited domestic reserves, strict environmental approvals, land acquisition challenges, and capital-intensive mining operations. These factors create a durable competitive edge.
Revenue Profile
Revenue is primarily generated from coal sales to steel manufacturers and industrial consumers. The steel sector contributes the highest share of revenue. Sales are largely domestic and governed by notified pricing mechanisms and long-term supply agreements.
Geographical Footprint
Operations are concentrated in Jharkhand, mainly in the Jharia coalfields. This region is one of India’s most important coking coal belts and forms the core of the company’s production base.
Management and Promoters
The promoters are the President of India, acting through the Ministry of Coal, and Coal India Limited. The management team consists of experienced PSU professionals overseeing mining operations, finance, safety, and compliance within a structured governance framework.
Corporate Structure
Bharat Coking Coal Limited operates as a subsidiary of Coal India Limited. It does not have significant independent subsidiaries and functions as an operating arm within the Coal India group.
Target Customers
The business is predominantly B2B. Its key customers include steel manufacturers, public sector undertakings, and large industrial users that require consistent coking coal supply.
How the Company Earns
The company earns revenue through one-time bulk coal sales under long-term contracts. The primary earning channel is volume-based coal supply rather than value-added or service-based income.
Market Position
Bharat Coking Coal Limited is among the top domestic producers of coking coal in India, holding a leadership position in supplying coking coal to the Indian steel industry.
About Bharat Coking Coal IPO
Bharat Coking Coal Limited is launching its initial public offering with a total issue size of up to 46.57 crore equity shares, entirely through an Offer for Sale by Coal India Limited. There is no fresh issue component, meaning the company itself will not receive any funds from this IPO. The Book Running Lead Managers to the issue are IDBI Capital Markets & Securities Limited and ICICI Securities Limited, and the registrar to the issue is KFin Technologies Limited.
Bharat Coking Coal price band is set at ₹21 to ₹23 per share, with a face value of ₹10 per share. The lot size is 600 shares, translating to a minimum retail investment of ₹13,800 at the upper price band. The equity shares will be listed on BSE and NSE, with NSE as the designated stock exchange. The issue is being conducted through the 100% book-built route.
As this is a pure Offer for Sale, the IPO does not strengthen the company’s balance sheet or fund any expansion or capital expenditure. The objective of the issue is to increase public shareholding, improve liquidity in the stock, and enable partial stake monetisation for the promoter, Coal India Limited.
The anchor investor bidding is scheduled for 8 January 2026. The IPO opens on 9 January 2026 and closes on 13 January 2026. The basis of allotment is expected on 14 January 2026, refunds and demat credit are likely on 15 January 2026, and the shares are expected to be listed on 16 January 2026.
IPO Details
Issue Type: Offer for Sale
Total Issue Size: Up to 46.57 crore equity shares
Fresh Issue: Nil
OFS: Up to 46.57 crore equity shares
Price Band: ₹21 – ₹23 per share
Face Value: ₹10 per share
Lot Size: 600 shares
Minimum Retail Investment: ₹13,800
Listing: BSE, NSE
Pre-IPO Placement: Not applicable
Employee Reservation: Available
BRLMs:
IDBI Capital Markets & Securities Limited
ICICI Securities Limited
Registrar:
KFin Technologies Limited
IPO Timeline
Anchor Date: 8 January 2026
Issue Opens: 9 January 2026
Issue Closes: 13 January 2026
Allotment Finalisation: 14 January 2026
Refunds: 15 January 2026
Demat Credit: 15 January 2026
Listing Date: 16 January 2026
Valuation Snapshot
Price Band: ₹21 – ₹23
Implied Market Cap: ~₹10,700 crore – ₹11,300 crore
P/E: ~8.6x
EV/EBITDA: ~4.5x
Price-to-Sales: ~0.7x
Pre-IPO Placement Price: Not applicable
Valuation
At the upper price band, Bharat Coking Coal Limited is valued at a discount to many listed mining and PSU peers despite strong return ratios and stable cash flows. While growth prospects are moderate due to regulatory and sector constraints, the valuation appears reasonable for long-term investors seeking stability, dividend potential, and exposure to a strategically important sector.
Industry Overview
The coking coal industry supplies a critical raw material used in steel manufacturing. Unlike thermal coal, coking coal is required to produce metallurgical coke, which is essential for blast furnace operations. Its role in steelmaking makes it strategically important for industrial economies.
Market Size and Segmentation
India’s coking coal market is structurally undersupplied. Domestic production meets only a portion of total demand, with the balance met through imports. The market is segmented into prime coking coal, medium coking coal, and semi-coking coal, each used at different stages of steel production.
Key Drivers and Industry Lifecycle
Infrastructure development, urbanisation, railways, defence manufacturing, and capital goods drive long-term steel demand. The industry is mature in terms of mining methods but remains critical due to limited substitutes for coking coal in steelmaking.
Demand Dynamics
Steel production growth directly influences coking coal demand. Demand tends to be cyclical in the short term but structurally stable over long periods due to India’s development needs. Domestic suppliers benefit from assured offtake even during downturns.
Competitive Landscape
The industry has high entry barriers due to reserve concentration, mining licences, environmental approvals, and capital requirements. Supplier power is moderate due to regulation, buyer power is high among large steel producers, and the threat of new entrants is low.
Operational Benchmarks
Key performance indicators include cost per tonne, recovery rates from washeries, safety compliance, and logistics efficiency. Rail availability and mine productivity play a major role in operational performance.
Regulatory and ESG Environment
The sector operates under strict government regulation. Environmental clearances, land acquisition norms, mine closure obligations, and worker safety standards are tightly monitored. ESG compliance has become a growing focus for investors and regulators.
Geopolitical and Supply Chain Risks
India’s dependence on imported coking coal exposes the sector to global price volatility and geopolitical risks. Domestic producers help reduce this exposure but remain affected by logistics bottlenecks and infrastructure constraints.
Future Outlook and Major Risks
The long-term outlook remains stable due to continued steel demand. However, risks include environmental restrictions, delays in mine expansion, rising compliance costs, and gradual global transition toward cleaner technologies.
Conclusion and Investment Context
The coking coal industry offers stability rather than high growth. Companies operating in this space are valued for cash flow visibility, strategic importance, and resilience rather than rapid expansion.
Peer Analysis of Bharat Coking Coal
Revenue Scale
Coal India Limited – Largest coal producer in India with diversified coal operations
NMDC Limited – Large mining PSU, primarily focused on iron ore
Singareni Collieries Company Limited – Regional coal major with stable production
NLC India Limited – Lignite-focused miner with power generation linkage
Vedanta Limited – Private sector diversified natural resources company
Profitability Profile
Coal India Limited – Consistently high margins due to scale and pricing discipline
NMDC Limited – Cyclical margins linked to iron ore prices
Singareni Collieries Company Limited – Stable PSU-style profitability
NLC India Limited – Moderate margins due to regulated power business
Vedanta Limited – Volatile margins driven by commodity cycles
Resource Base Strength
Coal India Limited – Dominant coal reserves in India
NMDC Limited – Strong iron ore reserves
Singareni Collieries Company Limited – Concentrated coal reserves
NLC India Limited – Lignite-heavy reserves
Vedanta Limited – Mixed mineral and metal resources
Ownership and Control
Coal India Limited – Central government controlled
NMDC Limited – Central government controlled
Singareni Collieries Company Limited – State government controlled
NLC India Limited – Central government controlled
Vedanta Limited – Privately owned
Growth Visibility
Coal India Limited – Low to moderate growth visibility
NMDC Limited – Commodity price-driven growth
Singareni Collieries Company Limited – Stable but limited growth
NLC India Limited – Transition-led growth with renewables
Vedanta Limited – Opportunistic and cyclical growth
ESG and Regulatory Exposure
Coal India Limited – High ESG and regulatory scrutiny
NMDC Limited – Moderate ESG exposure
Singareni Collieries Company Limited – Moderate ESG exposure
NLC India Limited – Moderate ESG exposure
Vedanta Limited – High ESG and regulatory sensitivity
Key Insights
Bharat Coking Coal Limited aligns closest with Coal India Limited in terms of stability and strategic relevance. Compared to private miners, it offers lower growth but stronger earnings visibility and regulatory backing.
Bharat Coking Coal IPO Reservation
| Investor Category | Reservation % | ||
|---|---|---|---|
| QIB (Qualified Institutional Buyers) | 50% | ||
| Retail Investors | 35% | ||
| NII / HNI (Non-Institutional Investors) | 15% | ||
Bharat Coking Coal IPO Lot Size
| Application | Lots | Shares | Amount | |
|---|---|---|---|---|
| Retail (Min) | 1 | 600 | ₹13,800 | |
| Retail (Max) | 14 | 8,400 | ₹1,93,200 | |
| S-HNI (Min) | 15 | 9,000 | ₹2,07,000 | |
| S-HNI (Max) | 72 | 43,200 | ₹9,93,600 | |
| B-HNI (Min) | 73 | 43,800 | ₹10,07,400 |
Financials of Bharat Coking Coal
| Period Ended | 30 Sep 2025 | 31 Mar 2025 | 31 Mar 2024 | 31 Mar 2023 |
|---|---|---|---|---|
| Assets | 18,711.13 | 17,283.48 | 14,727.73 | 13,312.86 |
| Total Income | 6,311.51 | 14,401.63 | 14,652.53 | 13,018.57 |
| Profit After Tax | 123.88 | 1,240.19 | 1,564.46 | 664.78 |
| EBITDA | 459.93 | 2,356.06 | 2,493.89 | 891.31 |
| NET Worth | 5,830.89 | 6,551.23 | 5,355.47 | 3,791.01 |
| Reserves and Surplus | 1,006.52 | 1,805.73 | 664.72 | -853.10 |
| Total Borrowing | 1,559.13 |
- Bharat Coking Coal Limited has delivered steady revenue growth over the last three years, supported by stable coal offtake and long-term supply arrangements with steel producers. Growth is gradual, indicating demand stability rather than aggressive expansion.
- Operating performance has remained strong. EBITDA has increased consistently, showing effective cost control in a capital-intensive and regulated mining environment. Margins have remained stable, with no signs of stress.
- Profit after tax has grown faster than revenue, helped by operational leverage and a reduction in interest costs. This reflects quality earnings, not one-off gains.
- The balance sheet has strengthened meaningfully. Net worth and reserves have grown every year, while borrowings have steadily declined. This deleveraging trend reduces financial risk and improves resilience during commodity downcycles.
- Overall, the financials point to a cash-generating, low-risk PSU business with strong capital efficiency, but moderate growth visibility.
Objective of Bharat Coking Coal IPO
The IPO is a 100% Offer for Sale, so no fresh funds will be raised by Bharat Coking Coal Limited.
The entire proceeds from the issue will go to Coal India Limited, the promoter selling shareholder.
The primary objective is partial stake monetisation by the promoter.
The listing will help improve public shareholding and liquidity in the equity shares.
Being a listed entity will enhance market visibility, transparency, and governance standards.
The IPO does not impact capex plans, debt levels, or working capital, as the company is not receiving funds.
Pre Post Share Holding Pattern of Bharat Coking Coal
Before the IPO, Coal India Limited (the promoter) owns 100% of the company’s shares. After the IPO, Coal India will sell a portion of its stake through a 100% Offer for Sale (OFS). This will increase the public shareholding while reducing the promoter’s share proportion, though the promoter will still retain control of the company.
In simple terms:
Pre-IPO: Promoter owns all shares.
Post-IPO: Promoter ownership drops, public ownership rises, but promoter remains the majority owner.
This change helps improve liquidity and public float without diluting the company’s equity or affecting its balance sheet.
SWOT Analysis of Bharat Coking Coal
Strengths
Strategic importance in India’s steel supply chain
Strong backing from Coal India Limited and Government of India
Limited domestic competition in coking coal
Stable demand through long-term supply agreements
Healthy return ratios and steady cash flows
Weaknesses
No fresh capital infusion through the IPO
Growth constrained by regulation and approvals
High dependence on the steel sector
PSU-style operational rigidity
Opportunities
Rising steel demand driven by infrastructure and manufacturing
Reduction in coking coal imports through domestic supply
Operational efficiency improvements and cost optimisation
Potential for consistent dividend payouts
Threats
Environmental and ESG-related regulatory pressure
Policy changes impacting coal mining
Safety and operational risks in mining
Long-term transition toward cleaner energy alternatives
Disclaimer: Market Insiderz is not a SEBI registered investment advisor. The information provided here, including GMP, is for educational purposes only and subject to market volatility. Please consult a certified financial advisor and read the RHP carefully before investing.
Conclusion
Bharat Coking Coal Limited is a strategically important PSU operating in a critical segment of India’s steel value chain. The company benefits from stable demand, limited domestic competition, strong government backing, and consistent cash generation. Financial performance shows steady revenue growth, improving profitability, declining borrowings, and healthy return ratios for a mining PSU.
However, this IPO is a pure Offer for Sale, which means the company does not receive any funds for expansion or growth. Future performance will largely depend on steel demand, regulatory decisions, and environmental policies rather than aggressive capacity additions. ESG pressures and PSU-style operational constraints are likely to cap valuation upside.
Investor suitability
This IPO is best suited for conservative, long-term investors who value stability, predictable earnings, and potential dividends. It may not appeal to investors seeking fast growth or strong listing gains.
FAQ on Bharat Coking Coal IPO
Bharat Coking Coal Limited IPO is a 100% Offer for Sale, where Coal India Limited is selling part of its stake. The company itself is not raising fresh capital.
The price band is ₹21 to ₹23 per share.
The IPO opens on 9 January 2026 and closes on 13 January 2026.
The lot size is 600 shares per lot.
The minimum investment is ₹13,800 at the upper price band.
The GMP is not fixed and keeps changing. It should be used only as a sentiment indicator, not as a decision factor.
Allotment is expected on 14 January 2026.
Demat credit is expected on 15 January 2026.
The shares are expected to list on 16 January 2026 on BSE and NSE.
The IPO consists of up to 46.57 crore equity shares, aggregating to roughly ₹1,070–₹1,300 crore, depending on the final price.
All proceeds will go to Coal India Limited. Bharat Coking Coal Limited will not receive any funds.
The IPO may suit conservative, long-term investors looking for stability and dividends, but it is not suitable for high-growth or short-term listing gain expectations.
