On Tuesday, the state-run mining corporation informed stock markets that the Centre will sell up to 2% of its shares in Coal India Limited (CIL) through an offer for sale (OFS) that will take place from May 27 to May 29.
Compared to Coal India’s closing price of Rs 455.90 on Tuesday on the NSE, the government-set floor price is over 10% lower at 412 rupees per equity share.
The government intends to sell 6.16 crore equity shares as the base offer under the OFS; this amounts to one percent of Coal India’s paid-up equity capital.
With an extra 6.16 crore shares available through the oversubscription option, the total number of shares offered might reach 12.32 crore, or 2% of the company’s equity.
The share sale is scheduled to begin on May 27 for those who are not retail investors, and on May 29 for those who are retail investors, qualifying workers, or non-retail investors who have unallotted bids.
Due to the Eid holiday on May 28, stock markets will be closed, creating a gap between the two bidding days.
Following the instructions set out by the Securities and Exchange Board of India (SEBI), the OFS will be carried out through a distinct window system on both the BSE and NSE.
In addition, Coal India said that, with regulatory approval, qualifying employees might be allocated up to 25,000 equity shares, and that employees could bid for shares valued up to 5 lakh rupees.
Coal India’s net profit grew 12% to Rs 10,908 crore in the January-March quarter of FY26, while income from operations increased 6% to Rs 46,490 crore, preceding the announcement of divestiture.
In addition, a final dividend of 5.25 rupees per share was declared by the board of directors for FY26.
IMage Credit: Upstox
Disclaimer: All news articles are sourced through valid sources, and Business Unlimited (BU) doesn’t have any exclusive rights on these pieces. If BU features any exclusive story or article, it will be marked as Exclusive Story.
