Shares of Coal India fell up to 3% on Thursday amid reports that the government is planning to divest a stake in the state-owned miner. The world’s largest coal producer is likely to see an offer for sale (OFS) soon, with the government mulling a 3-4% stake sale that could fetch around ₹10,000 crore, according to reports.

Reacting to the news, Coal India shares declined as much as 2.86% to ₹456.30 on the BSE. At the time of reporting, the PSU stock was trading 1.75% lower at ₹461.55, with a market capitalisation of ₹2.86 lakh crore.

The stock recently touched its 52-week high of ₹490.90 on April 30, 2026, rebounding 33% from its 52-week low hit on August 28, 2025. The mining stock has risen 16% year-to-date (YTD), while gaining 23% over the past six months and 21% over the past year. The counter has delivered flat returns over the last one month.

Early today, shares of Coal India opened marginally higher at ₹470.95 against the previous close of ₹469.75 and touched an intraday high of ₹472.95. However, the blue-chip stock lost momentum following reports of a potential government stake sale and declined as much as 3.5% from the day’s high level.

As of the March 2026 quarter, the Government of India held a controlling 63.13% stake in Coal India, while public shareholders owned the remaining 36.87%, including an 11% stake held by Life Insurance Corporation of India and 9.5% by mutual funds. Foreign Portfolio Investors (FPIs) accounted for 8.38% ownership, while around 25.3 lakh retail shareholders, those with authorised share capital of up to ₹2 lakh, collectively held a 3.82% stake in the company.

In the past 12 months, Coal India has declared an equity dividend of ₹26.40 per share, including a final dividend of ₹5.25 per equity share for FY26, announced after its Q4 results meeting held on April 27, 2026.

CIL to list two more subsidiaries

Earlier this year, Coal India listed its coking coal arm, Bharat Coking Coal Limited (BCCL), by selling a 10% equity stake for ₹1,071 crore as part of the government’s plan to unlock value from public sector companies.

Besides, the board of the state-run coal mining firm has given in-principle approval to list two of its subsidiaries, Mahanadi Coalfields Limited (MCL) and South Eastern Coalfields Limited (SECL). The proposed listings are subject to various regulatory approvals.

In an exchange filing, the company said the Ministry of Coal, through an office memorandum dated December 16, 2025, had urged Coal India to take concrete steps toward listing the two subsidiaries in FY27. The company added that the decision would now be communicated to the coal ministry for onward submission to the Department of Investment and Public Asset Management (DIPAM).

SECL, India’s largest coal-producing company, is a wholly owned subsidiary of Coal India. A “Miniratna” PSU, SECL operates coal mines across Chhattisgarh and Madhya Pradesh. MCL, carved out of SECL on April 3, 1992, is headquartered in Sambalpur, Odisha. The Miniratna PSU has emerged as a key pillar of Coal India’s production and profitability.

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