The primary market of 2026 has kicked off with a resounding bang. The initial public offering (IPO) of Bharat Coking Coal Limited (BCCL), a subsidiary of Coal India, witnessed an overwhelming response from investors on its opening day, January 9. The issue was fully subscribed within minutes of the bidding window opening, setting a bullish tone for the year ahead.
Record-Breaking Subscription Numbers
By the close of the first day, the BCCL IPO was subscribed over 8 times, with the overall subscription figure reaching 8.09 times the offered shares. The demand was particularly robust from non-institutional investors (NIIs) and retail individuals. The NII quota was booked a staggering 16.39 times, while the retail portion saw bids 9.26 times the shares on offer.
The qualified institutional buyers (QIB) segment was subscribed 30%, and the shareholder portion saw 10.86 times bids. The employee quota was subscribed 83%. This stellar response follows the company raising over ₹273.13 crore from anchor investors ahead of the public issue. The bidding for the IPO will remain open until January 13, 2026.
Strong Grey Market Premium and IPO Details
The market's optimism is further reflected in the grey market premium (GMP). The BCCL IPO GMP currently stands at ₹10.25. Given the offer price band of ₹21 to ₹23 per share, this indicates a potential listing price of around ₹33.25. If this holds, it would translate to a listing gain of approximately 44.57% for allottees at the upper price band.
It is crucial for investors to remember that the GMP is highly volatile and can change rapidly based on market sentiment. It should not be the sole basis for an investment decision. The IPO itself is an offer-for-sale (OFS) of 46.57 crore equity shares by the parent company, Coal India. The company aims to raise ₹1,071 crore through this issue, with all proceeds going to Coal India and not to BCCL's operations.
Analyst Views and Company Background
Brokerage firms have largely expressed a positive outlook. Anand Rathi noted that Bharat Coking Coal, with its strong industry market share, is valued at about 8.64 times its FY25 earnings at the upper price band, which it considers fair. The brokerage recommends subscribing for listing gains, citing the company's consistent track record.
Similarly, Swastika Investmart finds the IPO suitable for both long-term dividend-seeking investors and those looking for short-term listing gains, pointing to the company's strong fundamentals and attractive valuation. Incorporated in 1972, Bharat Coking Coal is primarily engaged in mining and supplying coking coal. Its operations are concentrated in the Jharia coalfields of Jharkhand and the Raniganj coalfields of West Bengal.
This IPO marks the first mainboard public offering of 2026, following a historic year in 2025 where Indian companies raised a record nearly ₹1.76 lakh crore through IPOs. The shares of Bharat Coking Coal are scheduled to be listed on both the BSE and NSE on January 16, 2026.
