Coal India OFS: Institutional investors put in Rs 19,000 crore bids

New Delhi: Institutional investors on Wednesday lapped up Coal India shares, putting in bids worth about Rs 19,000 crore on the first day of the issue.

The Government is selling over 12.32 crore, or up to 2 percent stake, in Coal India at a floor price of Rs 412 a share. The issue includes a green-shoe option of 1 percent. Retail investors will bid in the OFS on May 29.

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Non-retail or institutional investors subscribed to more than 45.15 crore shares or over 8 times the shares reserved for them at an indicative price of Rs 436.69 per share, much higher than the set floor price.

At this indicative price, bids of over 45.15 crore shares amount to around Rs 19,000 crore.

With this massive investor interest, the government is likely to exercise the green-shoe option in the Offer For Sale (OFS).

The floor price of Rs 412 per share is at a 10 percent discount over Tuesday's closing price of Rs 458.25 on the BSE.

On Wednesday, shares of Coal India closed at Rs 462.90, up 1.01 percent over the previous close on BSE.

Coal India is the second OFS of a public sector company in the current fiscal year. Last week, the government sold 8.08 percent stake in Central Bank of India via OFS and raised Rs 2,266 crore.

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The FY27 Budget has estimated a mop-up of Rs 80,000 crore through disinvestment and asset monetisation, more than double the Rs 33,837 crore given in the Revised Estimates for FY26.

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