Government to Sell Up to 2% Stake in Coal India via Offer for Sale at Rs 412 Floor Price
The Government of India announced an offer for sale (OFS) to divest up to 2% stake in Coal India Limited, comprising a base offer of 1% equity and an additional 1% green shoe option in case of oversubscription. The floor price is set at Rs 412 per share, about 10% below the recent market price. The OFS opened for non-retail investors on May 27 and will open for retail investors and eligible employees on May 29. Institutional investors oversubscribed the non-retail portion on day one, indicating strong demand. The sale is expected to raise around Rs 5,000 crore, contributing to the government's FY27 disinvestment target of Rs 80,000 crore. Coal India remains a government promoter with a 63% stake, and the company reported steady financial performance with a recent dividend declaration.