Mumbai: Coal India shares rose about 3 per cent on Wednesday after the company’s board gave in-principle approval to list two of its subsidiaries — Mahanadi Coalfields Limited (MCL) and South Eastern Coalfields Limited (SECL).
The positive development boosted investor sentiment around the PSU stock.
In morning trade on Wednesday, Coal India shares climbed to Rs 412.40 apiece, marking their highest level in the last seven months.
With this move, the stock extended its rally for the sixth straight trading session.
The company informed exchanges late on December 23 that the proposed listings of MCL and SECL are subject to various regulatory approvals.
This announcement followed advice from the Ministry of Coal on December 16, which had asked Coal India to take concrete steps to ensure the listing of its subsidiaries in the financial year 2026–27.
South Eastern Coalfields Limited is a Mini Ratna public sector enterprise with a strong project pipeline.
So far, 73 major coal projects have been approved for SECL, with a total capacity of 30.28 crore tonnes per annum and sanctioned capital expenditure of Rs 44,571 crore.
Out of these, 30 projects are currently under implementation, 38 have been completed, and five underground blocks are operating as existing mines.
In the financial year 2024–25, SECL produced 16.75 crore tonnes of coal. Its coal reserves are spread across Chhattisgarh and Madhya Pradesh.
Mahanadi Coalfields Limited was carved out of SECL in 1992 and is headquartered in Sambalpur, Odisha.
The company received its Miniratna status in 2019 and is one of Coal India’s key subsidiaries.
Coal India shares had already gained momentum a day earlier, rising nearly 4 per cent to close at Rs 400.65 on Tuesday.
The jump came after media reports suggested that another subsidiary, Bharat Coking Coal Limited (BCCL), is planning to launch an initial public offering soon.
(IANS)
