Bharat Coking Coal IPO GMP rises ahead of issue opening on Friday; should you subscribe?

Indian Gas Exchange IPO

The grey market premium (GMP) of Coal India subsidiary Bharat Coking Coal Ltd’s initial public offering (IPO) has risen ahead of the issue opening on Friday, indicating expectations of healthy listing gains.

As per grey market trackers, Bharat Coking Coal shares were quoting at a premium of 50–53 percent in the unofficial market on Wednesday. Data from Investorgain showed a GMP of Rs 12.25 per share, implying a potential listing gain of 53.26 percent, while IPO Watch quoted the premium at up to 50 percent.

The IPO will open for subscription on January 9 and close on January 13, marking the first public issue of 2026. Anchor investor bidding is scheduled for January 8, the company said.

Bharat Coking Coal IPO: Should you subscribe?

Analysts at SBI Securities have assigned a ‘Subscribe’ rating to the issue.

In its note, the brokerage highlighted that Bharat Coking Coal is India’s largest producer of coking coal, with strategically located mines and large washeries, and is also exploring prospects in coal bed methane (CBM) projects.

The report also flagged risks including import parity, contractor-related risks, customer concentration and dependence on strategic support from Coal India.

Incorporated in 1972 and conferred with Mini Ratna status, Bharat Coking Coal Ltd is a wholly owned subsidiary of Coal India Ltd. The company is engaged primarily in mining and supply of coking coal and holds estimated reserves of about 7.91 billion tonnes as of April 2024, placing it among the largest holders of coking coal reserves in the country.

The company also produces various grades of coking coal, non-coking coal and washed coal, mainly catering to the steel and power sectors.

Shareholding and issue details

35 percent of the issue has been reserved for retail investors. A separate shareholder quota of 10 percent has been set aside for existing shareholders of Coal India.

Investors who held shares of Coal India on or before January 1, 2026, will be eligible to apply under the shareholder quota, as per the RHP.

The basis of allotment is expected on January 14, and the shares are scheduled to list on January 16.

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