Upcoming IPO: Coal India unit South Eastern Coalfields files papers – How much funds to be raised and other key facts
South Eastern Coalfields Ltd (SECL), a subsidiary of state-owned Coal India Ltd, has filed preliminary papers with the Securities and Exchange Board of India (Sebi) to launch its initial public offering (IPO), marking another step in the government's efforts to list coal sector subsidiaries.
The proposed public issue will comprise an offer for sale (OFS) of up to 66.81 crore equity shares by promoter Coal India, with no fresh issue component, according to the Draft Red Herring Prospectus (DRHP) dated November 1.
The IPO could raise as much as $800 million, Bloomberg reported, citing people familiar with the matter.
Since the issue is entirely an OFS, SECL will not receive any proceeds from the public offering. The entire amount raised through the share sale will go to Coal India, which will dilute its stake in the subsidiary.
SBI Capital Markets, ICICI Securities appointed lead managers
SBI Capital Markets, ICICI Securities, IDBI Capital Markets & Securities and Motilal Oswal Investment Advisors have been appointed as the book-running lead managers for the proposed IPO.
KFin Technologies will act as the registrar to the issue.
The proposed listing will provide investors an opportunity to participate in one of India's largest coal-producing companies through the stock market.
SECL reported an improvement in its financial performance during the six months ended September 30, 2026.
The company's revenue from operations increased to ₹16,593.7 crore from ₹15,090.2 crore in the corresponding period of the previous year.
Its net profit nearly doubled to ₹2,174.3 crore during the period, compared with ₹1,140.9 crore in the year-ago period.
The improvement in earnings comes amid higher coal production and the company's significant contribution to India's domestic coal supply.
Incorporated in 1985 and headquartered in Bilaspur, Chhattisgarh, SECL is among the country's largest coal producers. It is the second-largest coal-producing subsidiary of Coal India.
According to the DRHP, citing a Crisil report, SECL produced 176.29 million tonnes of coal in FY26, accounting for 16.94% of India's total coal production. It contributed 22.95% to Coal India's overall production during the financial year.
The company's coal production increased 5.25% in FY26 from 167.49 million tonnes in the preceding financial year.
SECL was granted Miniratna Category-I status in March 2007 and completed 40 years of coal mining operations in 2025.
As of April 1, 2026, SECL had total geological coal resources of approximately 47.55 billion tonnes, representing around 11.50% of India's total coal geological resources.
Its audited coal reserves stood at 4.61 billion tonnes, which could support production for approximately 26 years at FY26 levels, according to the draft prospectus.
The company's Gevra and Kusmunda opencast mines in Chhattisgarh's Korba coalfield are among the world's largest coal mines.
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As of September 30, 2026, SECL operated 53 producing mines, comprising 19 opencast and 34 underground mines, across 13 operating areas in the Korba, Mand-Raigarh and Central India coalfields.
SECL's proposed IPO follows the listing plans of other Coal India subsidiaries.
In September, Mahanadi Coalfields Ltd (MCL) filed preliminary papers with Sebi for an IPO through which Coal India plans to sell a 10% stake.
Earlier this year, another subsidiary, Bharat Coking Coal Ltd (BCCL), launched its maiden public offering.
The proposed SECL listing represents another significant step in Coal India's subsidiary monetisation programme and could broaden investor participation in India's coal sector.
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HomeMarketsIPOUpcoming IPO: Coal India unit South Eastern Coalfields files papers – How much funds to be raised and other key facts
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