Athira Sethu
Kochi, 5 November 2026
Mahanadi Coalfields Ltd., an offshoot of state-controlled Coal India, has got the green light from India’s capital market regulator for the Initial Public Offer (IPO).
Mahanadi Coalfields is set to make its debut into the Indian equity markets via what could be one of the biggest IPOs of 2026.
The offer has gotten clearance from India’s Securities and Exchange Board of India (SEBI).
The share sale could fetch close to $1 billion or about ₹9,000 crore, based on the exchange rate.
The IPO could valuate Mahanadi Coalfields at close to $10 billion.
Coal India Plans to Float 10% Shares in Mahanadi Coalfields
Coal India plans to divest 10% shares in Mahanadi Coalfields via the share sale.
According to the documents submitted to SEBI in September, Coal India plans to sell up to 66.18 crore shares of its subsidiary.
The IPO will enable investors to subscribe to shares in Mahanadi Coalfields for the first time.
As the IPO is based on the sale of existing shares, proceeds from the sale will go to Coal India and not directly to Mahanadi Coalfields.
The IPO price, date of listing and other details have yet to be announced.
Mahanadi Coalfields Contributes Significantly to Coal Output
Mahanadi Coalfields is among the major coal-producing firms in India. The company largely operates in Odisha and is significant to the fulfillment of the country’s energy needs.
During the financial year 2025-26, the firm was responsible for about 21% of India’s domestic coal production.
Mahanadi Coalfields also contributed to 28.4% of Coal India’s coal output.
Coal India is still India’s biggest coal producer and contributed about 74% of India’s total coal production during the same financial year.
These statistics showcase the significance of the company in the coal and energy sector of India.
Coal India Seeks Further Listing of Its Subsidiaries
During March 2026, Coal India expressed plans to divest up to 25% shareholding in two of its subsidiaries which include Mahanadi Coalfields and South Eastern Coalfields.
The divestments are expected to be done through initial public offerings or otherwise.
The planned listings will go along with Coal India’s strategy to monetize the subsidiary companies.
Sources indicate that the listing of Mahanadi Coalfields may happen as soon as November 2026.
However, the company has not yet indicated the exact date of the offering.
IPO Market in India Keeps On Expanding
Several major IPOs took place in 2026 in India and received a lot of attention from investors.
Moreover, some big companies like Jio Platforms and National Stock Exchange of India became IPOs as well.
One more big IPO that can be expected in India is the IPO of Mahanadi Coalfields.
After receiving necessary permissions from the regulator, the company is getting closer to entering the stock market.
