Bharat Coking Coal listing postponed due to civic polls in Maharashtra. Check new date

The listing of Bharat Coking Coal Ltd., a subsidiary of PSU Maharatna Coal India, has been postponed to January 19 from the earlier scheduled date of January 16 due to local elections in Maharashtra.Furthermore, the Indian stock market will remain closed on Thursday, January 15 due to the municipal elections in Maharashtra. Both the BSE and NSE have issued revised circulars confirming that there will be no inter-segment trading tomorrow. In a circular, the BSE said trading in equity segment, equity derivatives, commodity derivatives and electronic gold earnings will remain closed on January 15.

Bharat Coking Coal’s Rs 1,071 crore IPO witnessed one of the strongest subscription responses in India’s primary market in recent years, attracting bids worth over Rs 1.1 lakh crore. Exchange data showed that investors bid for 50,93,16,75,600 shares at the top end of the price band of Rs 23, which translated into a total bid value of around Rs 1.17 lakh crore. In terms of investor participation, the issue also set a new record with 90.31 lakh applications.

Bharat Coking Coal GMP Today

Bharat Coking Coal’s IPO is currently trading at a gray market premium (GMP) of Rs 14, which translates to a premium of almost 61% over the highest issue price of Rs 23. Based on this trend, the stock is estimated to trade at around Rs 37 per share.

A strong GMP reflects positive sentiment in the unofficial market and signals expectations of healthy stock market gains. However, investors should note that GMP is only a directional indicator and the final listing price may vary depending on general market conditions and demand on the day of listing.

Bharat Coking Coal IPO Value

Bharat Coking Coal is India’s largest producer of coking coal and the only significant domestic source of coking coal, a crucial raw material for steelmaking. According to the offer documents, the company had estimated reserves of around 7.91 billion tonnes as of April 2024, accounting for more than 20% of India’s total coking coal reserves.

In FY25, the company contributed nearly 58.5% of domestic coking coal production and operated 34 mines in Jharkhand and West Bengal. This dominant position has put the company at the center of India’s efforts to reduce its dependence on imported coking coal. At the higher end of the price range, the IPO values ​​Bharat Coking Coal at a market capitalization of around Rs 10,711 crore. In terms of post-issue capital, the valuation works out to roughly 6.4x EV/EBITDA, which several analysts consider reasonable given the company’s long reserve life, operational scale and monopoly position in a segment where barriers to entry are high.

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