The Government of India has announced plans to dilute part of its holding in Coal India Limited (CIL) through an offer for sale (OFS). The stake sale will take place over May 27 and May 29, 2026, with a floor price of ₹412 per share. The move is part of the government’s ongoing divestment strategy and offers institutional as well as retail investors an opportunity to participate in the public sector mining company.
Coal India informed stock exchanges that the Government of India intends to sell up to a 2% stake in the company through the OFS route.
As part of the base offer, the government plans to offload approximately 6.16 crore equity shares, representing 1% of Coal India’s total paid-up equity share capital.
In addition to the base issue, the government has included an oversubscription option, allowing it to sell another 6.16 crore shares. If fully subscribed, the total stake sale could reach 12.32 crore shares, equivalent to 2% equity in the company.
The floor price for the OFS has been fixed at ₹412 per equity share.
This price represents a discount compared to Coal India’s closing market price of ₹455.90 on the NSE prior to the announcement. The discounted pricing is generally intended to encourage investor participation in the offer.
The OFS will open for non-retail investors on May 27, 2026.
Retail investors, eligible employees and non-retail bidders carrying forward unallocated bids will be able to participate on May 29, 2026.
The two-day structure follows the standard OFS mechanism commonly used for government stake sales in listed public sector enterprises.
Coal India Limited operates under the administrative control of the Ministry of Coal and remains one of the government-owned mining companies listed on Indian stock exchanges.
The Government of India continues to hold a majority stake in the company, and the proposed OFS forms part of broader disinvestment and capital market initiatives undertaken by the government.
Coal India Limited shares at ₹445.40 on the NSE, down ₹12.75 or 2.78% compared to the previous closing price of ₹458.15.
Read More: Moody’s Says Higher Energy Prices Could Affect Near-Term Credit Conditions for Indian Corporates.
Want to track these market movements in Hindi? Visit Angel One News for daily updates and comprehensive share market news in Hindi.
The planned OFS in Coal India provides the government with an opportunity to reduce its stake while allowing institutional and retail investors to participate at a discounted floor price. Market participants are likely to monitor subscription levels, investor demand and Coal India’s stock performance during the offer period.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation or investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Investments in the securities market are subject to market risks. Read all related documents carefully before investing.
Published on: May 27, 2026, 11:38 AM IST
Neha Dubey
Neha Dubey is a Content Analyst with 3 years of experience in financial journalism, having written for a leading newswire agency and multiple newspapers. At Angel One, she creates daily content on finance and the economy. Neha holds a degree in Economics and a Master’s in Journalism.
Know MoreWe're Live on WhatsApp! Join our channel for market insights & updates
Get the link to download the App
