Bharat Coking Coal IPO surges, shares nearly double on debut

Bharat Coking Coal Ltd (BCCL), a subsidiary of Coal India Ltd, made a spectacular entry into the stock market on Monday, with its shares almost doubling on the first day of trading. The blockbuster listing reflected robust investor confidence in the company and its strategic importance in India’s coking coal sector.

Bharat Coking Coal’s initial public offering (IPO), which was entirely an offer for sale by parent Coal India, was priced at ₹23 per share, valuing the shares on offer at over ₹1,070 crore. On debut, the stock opened at ₹45 on the National Stock Exchange (NSE), a gain of about 95.7% over the issue price. Shares listed at ₹45.21 on the Bombay Stock Exchange (BSE), reflecting a similar surge.

The substantial first-day surge meant that investors who received allotments nearly doubled their investment within hours of listing, one of the most impressive IPO performances in recent months. Analysts attributed the strong debut to BCCL’s dominant position in the supply of coking coal, a key input for the steel industry, coupled with high market appetite for shares of state-run enterprises.

Market observers also highlighted that the successful listing could pave the way for further disinvestment plans by Coal India, generating renewed interest in upcoming IPOs from government-owned companies.

The IPO’s overwhelming reception underscores the sustained investor enthusiasm for infrastructure-linked public sector companies and demonstrates confidence in BCCL’s growth potential in India’s energy and steel supply chain.