India's Next Billion-Dollar IPO? Coal India subsidiary Mahanadi Coalfields in line after Jio, NSE - key things to know

Detailed summary

Coal India subsidiary Mahanadi Coalfields is preparing for a potential IPO of up to $1 billion, with Sebi observations received on November 4. The offer will be an offer for sale of a 10% stake by Coal India, and could launch in late November or early December.

Mahanadi Coalfields IPO: India's record-breaking IPO market could be heading for another blockbuster offering, with Coal India's subsidiary Mahanadi Coalfields preparing to enter the stock market after the massive public issues of Jio Platforms and the National Stock Exchange (NSE).

The proposed IPO could raise as much as $1 billion and value the state-owned coal producer at up to $10 billion, potentially making it one of India's biggest public offerings of 2026. The company has already cleared a key regulatory hurdle after receiving observations from the Securities and Exchange Board of India (Sebi) on November 4. With investor meetings reportedly underway and a possible launch in the second half of November or early December, Mahanadi Coalfields is emerging as another major listing to watch.

The proposed Mahanadi Coalfields IPO follows two major public offerings that have already drawn significant investor participation this year.

Jio Platforms raised approximately $3.2 billion through its October IPO, making it one of India's largest public issues. The offering opened for subscription on October 21, attracted bids worth more than 22 times the shares on offer and made its stock market debut on October 28.

Mahanadi Coalfields could now join this list with a proposed offering of up to $1 billion, equivalent to approximately ₹8,300 crore at an indicative exchange rate. The company could be valued at up to $10 billion.

Unlike a fresh capital-raising exercise, however, Mahanadi Coalfields' proposed IPO will be entirely an offer for sale (OFS), with Coal India selling a 10% stake in its subsidiary.

Market regulator Sebi issued its observations on Mahanadi Coalfields' draft offer documents on November 4, clearing an important regulatory hurdle. The company is preparing for a potential IPO launch in the second half of November or early December, Bloomberg reported earlier this month.

Investor meetings have reportedly begun, although the final issue size, valuation and launch…

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