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Coal India plans to launch the proposed IPOs of South Eastern Coalfields and Mahanadi Coalfields during FY27, subject to market conditions and government directives.

ICICIdirect Research 01 Sep 2026 DISCLAIMER

News: Coal India plans to launch the proposed IPOs of South Eastern Coalfields and Mahanadi Coalfields during FY27, subject to market conditions and government directives.

View: The proposed listings are positive for Coal India as they could unlock significant value from its key subsidiaries and improve the value discovery of its assets. The combined expected market capitalisation of SECL and MCL is estimated at ~₹1.2 lakh crore, based on ~5x FY26 EV/EBITDA. Together, the subsidiaries account for ~50% of Coal India’s production and ~40% of its consolidated profit of FY26. Additionally, the IPOs could provide greater financial flexibility and enhance transparency around the performance and valuation of its subsidiaries.

Impact: Positive

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