State-run Coal India Ltd. has taken a step forward in the proposed public listing of its wholly owned subsidiary Central Mine Planning and Design Institute Ltd. (CMPDIL) by submitting the Red Herring Prospectus (RHP) to the Securities and Exchange Board of India (SEBI).
The filing was also made with BSE and the National Stock Exchange (NSE), according to an exchange disclosure dated March 12. The company said the disclosure has been made under Regulation 30 of SEBI’s Listing Obligations and Disclosure Requirements (LODR) to ensure transparency and timely communication of material developments.
The IPO will consist entirely of an offer for sale (OFS) of up to 107.1 million equity shares by Coal India. As a result, CMPDIL will not receive any fresh capital from the public issue.
Since the offering is structured as a complete OFS, the shares will be sold by the parent company Coal India, and the proceeds from the issue will go entirely to the promoter rather than the subsidiary.
The planned IPO is part of Coal India’s broader strategy to unlock value from its subsidiaries and increase investor participation in specialised segments of its operations.
The listing, however, remains subject to regulatory approvals, market conditions and other relevant factors before the issue proceeds to the public offering stage.
Coal India had earlier submitted the Draft Red Herring Prospectus (DRHP) for CMPDIL’s IPO to SEBI on May 26, 2025. At that time, the company had proposed selling 7.14 crore shares through the OFS route.
The current filing represents the next stage in the listing process.
CMPDIL is a consultancy and engineering firm specialising in coal and mineral resource development. The company provides services across multiple areas including:
The company supports both open-pit and underground mining projects and also undertakes research and development initiatives for the Ministry of Coal.
CMPDIL operates eight laboratories across major coalfields and plays a key role in supporting technical and planning requirements across the coal sector.
CMPDIL has reported strong financial growth in recent years.
In FY25, the company recorded revenue of around ₹2,102 crore, marking a 23% increase compared with the previous year.
Profit after tax rose 33% to approximately ₹600 crore, resulting in a PAT margin of 30.6%, highlighting strong profitability for the consultancy-focused business.
Read more: LPG Price in India Today, March 13: Check Rates in Delhi, Mumbai, Bangalore and More Cities.
The CMPDIL IPO represents another step in Coal India’s strategy to monetise value from its subsidiaries and broaden investor access to specialised mining and consultancy businesses.
If approved and launched successfully, the public offering would allow investors to participate in a key technical services provider in India’s coal and mining ecosystem, while enabling Coal India to partially unlock value from the subsidiary through the offer-for-sale route.
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/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 the related documents carefully before investing.
Published on: Mar 13, 2026, 4:14 PM IST
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