Coal India shares tumble nearly 4% after Centre launches 2% stake sale via OFS

As per NSE data, Coal India shares were trading at Rs 440.45, down Rs 17.70 or 3.86 percent, at 9:45 am.      The government on Tuesday said it will sell up to a 2 percent stake in Coal India through the OFS route at a floor price of Rs 412 per share.      The issue includes a base offer of 1 percent equity stake and an additional 1 percent green shoe option in case of oversubscription. The OFS will open for non-retail investors on May 27, while retail investors can bid on May 29.

“Government of India announces OFS in Coal India Limited with a base offer of 1 per cent of its equity and an additional 1 per cent Green Shoe Option in case of oversubscription. Floor price fixed at Rs 412 per share,” DIPAM Secretary Arunish Chawla said in a post on X.

The proposed sale of around 12.32 crore shares is expected to fetch nearly Rs 5,000 crore for the government.      Coal India shares had closed at Rs 458.25 on the BSE on Tuesday, up 0.25 percent from the previous close. The OFS floor price represents a discount of around 10 percent to Tuesday’s closing market price.      Chawla said Coal India continues to remain an attractive long-term investment opportunity backed by strong operational performance, stable financials and consistent dividend payouts.      This is the second public sector OFS in the current financial year. Earlier this month, the government sold an 8.08 percent stake in Central Bank of India through an OFS, raising Rs 2,266 crore.      The Union Budget for FY27 has set a target of Rs 80,000 crore from disinvestment and asset monetisation, significantly higher than the revised estimate of Rs 33,837 crore for FY26.