Coal India Ltd has given in-principle approval for divesting up to 25% of its stake in South Eastern Coalfields Ltd through an OFS and for SECL to issue up to 10% fresh equity, pending regulatory approvals.

Coal India to divest 25% stake in South Eastern Coalfields via IPO

State-run Coal India Ltd on Monday (March 23) said it has granted an in-principle approval for the divestment of up to 25% of its equity in South Eastern Coalfields Ltd (SECL) through an offer for sale (OFS). In addition, South Eastern Coalfields Ltd will issue fresh equity shares aggregating up to 10% of its post-issue paid-up capital.

The approvals, cleared by CIL’s board in a meeting, allow the stake sale and fresh issue to be conducted in one or more tranches via an initial public offer (IPO) or other permissible domestic market routes. The move follows earlier in-principle approval for South Eastern Coalfields Ltd's listing granted through a circular resolution dated December 23, 2025.

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The proposed listing and divestment remain subject to regulatory approvals and completion of necessary formalities. The approvals will be communicated to the Ministry of Coal for onward submission to the Department of Investment and Public Asset Management (DIPAM).

Shares of Coal India Ltd ended at ₹455.40, down by ₹12.30, or 2.63%, on the BSE today, March 23.