Bharat Coking Coal Limited subscribed 8.1 times on Day 1

The Initial Public Offering of Bharat Coking Coal Limited was subscribed 8.09 times on the first day of bidding, demonstrating strong demand from retail and non-institutional investors along with shareholder reserved portion for this IPO.

The issue received bids of 2,80,61,36,400 equity shares against the offered 34,69,46,500 equity shares, according to data available on the stock exchanges.

Retail Portion and Non-institutional portion were subscribed 9.26 and 16.39 times respectively. Qualified Institutional Investors was subscribed 0.30 times. Shareholder reserved portion was subscribed 10.86 times. Employee Portion was subscribed 0.83 times.

The issue kicked off for subscription on Friday, January 9, 2026 and will close for subscription on Tuesday, January 13, 2026.

A day before the opening of the issue, Bharat Coking Coal Limited had raised Rs 273.1 crore from anchor investors. 

Some of the marquee institutions that participated in the anchor include Life Insurance Corporation, Societe Generale, Copthall Mauritius Investment Ltd, Citrine Fund, M7 Global Fund PCC - ASAS Global Opportunities Fund, Maybank Securities and Rajasthan Global Securities Private Ltd.  

Amongst equity- oriented schemes, the company has allocated shares to UTI Dividend Yield Fund and other schemes of UTI, Nippon Life India Trustee - A/C Nippon India Small Cap Fund and Bandhan Small Cap Fund.

Leading brokerage firms like Canara Bank Securities and SBI Securities have given a “Subscribe” rating to the issue highlighting the company is the largest producer of coking coal in India, which has a key application in the steel sector.  The company has also planned to increase the capacity of washeries by 7 million tonnes per annum.

And the parentage of Coal India, a thriving steel sector and strong fundamentals they remain positive on Bharat Coking Coal.

On the valuation front, at the upper price band, the issue is valued at a P/E of 9 times and 2 times price-to-book value, and there are no comparable Indian peers.

Company Information

The company is the largest coking coal producer in India in Fiscal 2025 in terms of coking coal production, which accounted for 58.50% of the domestic coking coal production in the financial year 2025 (source - CRISIL Report, Industry Overview of the RHP). Its primary product is coking coal, with an estimated reserve of approximately 7,910 million tonnes, as of April 1, 2024, making it one of the largest coking coal reserve holder in India (source - CRISIL Report, Industry Overview on page 200 of the RHP).

 The company produces various grades of coking coal, non-coking coal and washed coals for applications primarily in the steel and power industries. It is a wholly-owned subsidiary of Coal India Limited (CIL) and was conferred with Mini Ratna status in 2014.

The company has expanded its operations significantly over the years, with its coal production increasing from 30.51 million tonnes in Fiscal 2022 to 40.50 million tonnes in Fiscal 2025. Further, its coal production was 15.75 million tonnes in the six months period ended September 30, 2025 vis-à-vis 19.09 million tonnes in six months period ended September 30, 2024.

In Fiscal 2024, the company produced 39.11 million tonnes of coking coal and 1.99 million tonnes of non-coking coal, surpassing its previous records of coking coal production

Since Fiscal 2021, the company had increased its production by adding capacity through incorporating heavy earth-moving machinery (HEMM) as part of its operations. This approach has been effective, as its production trend has been upward since then, achieving a record in Fiscal 2024. In Fiscal 2024, the company surpassed its previous records of production to produce 39.11 million tonnes of raw coal, recording its highest coking coal production.

The table below shows subscription data for all the categories of investors:

Bharat Coking Coal Limited Sr.No. Category No.of shares offered / reserved No. of shares bid for No. of times of total meant for the category 1 Qualified Institutional Buyers (QIBs) 7,91,69,000 2,41,39,800 0.30 1(a) Foreign Institutional Investors (FIIs) - 1,53,58,800 - 1(b) Domestic Financial Institutions(Banks/ Financial Institutions(FIs)/ Insurance Companies) - 1,96,800 - 1(c) Mutual Funds - - - 1(D) Others - 85,84,200 - 2 Non Institutional Investors(NIIS) 5,93,76,750 97,34,17,200 16.39 2.1 Non Institutional Investors(Bid amount of more than Ten Lakh Rupees) 3,95,84,500 60,19,79,400 15.21 2.1(a) Corporates - 66,30,600 - 2.1(b) Individuals (Other than RIIs) - 57,21,22,200 - 2.1(c) Others - 2,32,26,600 - 2.2 Non Institutional Investors(Bid amount of more than Two Lakh Rupees and upto 10 lakh rupees) 1,97,92,250 37,14,37,800 18.77 2.2(a) Corporates - 17,46,600 - 2.2(b) Individuals (Other than RIIs) - 36,03,79,800 - 2.2(c) Others - 93,11,400 - 3 Retail Individual Investors (RIIs) 13,85,45,750 1,28,34,86,400 9.26 3(a) Cut Off - 1,07,91,14,400 - 3(b) Price Bids - 20,43,72,000 - 4 Employee Reserved 2,32,85,000 1,92,37,200 0.83 4(a) Employee (Cut off) - 1,55,59,200 - 4(b) Employee (Price) - 36,78,000 - 5 Reservation PortionShareholder 4,65,70,000 50,58,55,800 10.86 5(a) RPS (Cut off) - 39,45,22,200 - 5(b) RPS (Price) - 11,13,33,600 - Total 34,69,46,500 2,80,61,36,400 8.09