Bharat Coking Coal Ltd (BCCL) drew bids worth Rs 1.17 lakh crore for its Rs 1,071-crore initial public offering on January 13, as prospects of strong demand for coking coal from steelmakers lifted appetite for the shares.
The company, which is India's top coking coal miner, received bids for 50.93 billion shares, nearly 147 times the number of shares on offer, at the end of three days of bidding, as per exchange data.
The firm is a subsidiary of state-owned Coal India.
Bharat Coking Coal is the first mainboard IPO in India this year and consists entirely of a stake sale by its parent.
India ranked as the world's second-largest primary market in 2025 after the United States, with 367 IPOs raising $21.8 billion, according to LSEG data.
Offerings from companies such as LG Electronics India and ecommerce platform Meesho drew strong demand during 2025.
In 2025, companies raised a record nearly Rs 1.76 lakh crore through IPOs, buoyed by strong domestic liquidity, resilient investor sentiment and a supportive macroeconomic environment.
This surpassed the Rs 1.6 lakh crore mobilised by 90 firms in 2024 and the Rs 49,436 crore raised by 57 companies in 2023.
"Despite turbulence in the secondary market, this shows that primary market remains buoyant. The investor interest in Bharat Coking Coal is also driven by its strong parentage," Kranthi Bathini, director of equity strategy at WealthMills Securities told Reuters.
"The Indian coking coal industry benefits from structural demand growth driven by government-led infrastructure development, capacity addition in steel manufacturing, and policy emphasis on import substitution," said Ventura Securities.
Qualified institutional buyers bid for 24.61 billion shares of Bharat Coking Coal, about 311 times the number of shares on offer for them, leading the subscription demand for the IPO.
Non-institutional investors and retail investors quotas were subscribed 258 times and 49 times, respectively.
According to the red herring prospectus (RHP), the public issue is entirely an offer for sale (OFS) of 46.57 crore equity shares by Coal India.
The listing of BCCL is part of the government's broader divestment push in the coal sector, aimed at unlocking value in Coal India's subsidiaries and enhancing transparency through market discipline.
In its prospectus, the company stated that the IPO will help achieve the benefits of listing.
The company was incorporated in 1972 to mine and supply coking coal concentrated in mines at Jharia, Jharkhand, and Raniganj, West Bengal, coalfields.
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