Source The economics Times
New Delhi, January 9 2026: The much-anticipated initial public offering (IPO) of Bharat Coking Coal Limited (BCCL) witnessed an overwhelming response from investors on its first day of bidding, with the issue being fully subscribed within minutes of the offer opening on Friday.
The ₹1,071 crore IPO, entirely an offer for sale (OFS) by state-owned Coal India Limited, received robust participation from retail and high-net-worth investors, underscoring strong market sentiment toward the company’s public debut.
Subscription and Demand Highlights
As of the close of Day 1, the IPO was subscribed over 8 times, with bids totaling around 280 crore shares against the approximately 34.7 crore shares on offer.
Retail individual investors showed significant interest, with subscription levels nearing 9.3 times their quota.
Non-institutional investors (NIIs) led the demand chart with subscription ratios exceeding 16 times.
The qualified institutional buyer (QIB) portion saw moderate participation, subscribed around 30 per cent so far.
Price Band, Valuation & GMP Signals
The IPO was priced in a band of ₹21–23 per share, with a minimum application of 600 shares and its multiples. At the upper end of the band, BCCL commands a valuation of roughly 8.6 times its FY25 earnings, according to brokerage estimates.
In unofficial markets, the grey market premium (GMP) — an early indicator of potential listing performance — points to a healthy ~41 per cent premium, suggesting an expected listing price near ₹32.40 per share.
Strategic Importance & Outlook
BCCL is India’s largest producer of coking coal, a key raw material for steel production. A subsidiary of Coal India, it operates major mines in the Jharia and Raniganj coalfields, providing a vital supply link to the domestic steel industry.
Market analysts say the strong subscription reflects not only solid investor confidence in the company’s fundamentals but also positive sentiment toward the broader PSU IPO pipeline in the Indian market. Closing for bids on January 13, the issue is slated to list on the BSE and NSE on January 16, 2026.
Investor Takeaway
The Day 1 performance sets a bullish tone for the rest of the subscription window. With strong demand, especially from retail and non-institutional segments, and supportive GMP indicators, many market participants are hopeful of a positive listing debut later this month.
