The initial public offering (IPO) of Bharat Coking Coal was subscribed 8.09 times on the first day of bidding, demonstrating strong demand from retail and non-institutional investors along with a 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 were subscribed 0.30 times. The shareholder reserved portion was subscribed 10.86 times. Employee Portion was subscribed 0.83 times.
The issue kicked off for subscription on Friday, 09 January and will close for subscription on Tuesday, 13 January 2026.
A day before the opening of the issue, Bharat Coking Coal had raised Rs 273.1 crore from anchor investors.
Some of the institutions that participated in the anchor include Life Insurance Corporation, Societe Generale, Copthall Mauritius Investment, Citrine Fund, M7 Global Fund PCC - ASAS Global Opportunities Fund, Maybank Securities and Rajasthan Global Securities.
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.
On the valuation front, at the upper price band, the issue is valued at a price to earnings (PE) of 9 times and 2 times price-to-book value, and there are no comparable Indian peers.
The company is the largest coking coal producer in India in Fiscal 2025 in terms of coking coal production, which accounted for 58.50 per cent of the domestic coking coal production in the financial year 2025.
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. |
