The Indian government will sell a stake of up to 2% in Coal India via an offer for sale (OFS), an exchange filing by the company showed on Tuesday.
The OFS consists of a base offer of up to a 1% equity stake in the state-run coal miner, with an option to sell an additional 1%.
The floor price has been fixed at 412 rupees per share, which is about a 10% discount to Coal India’s last closing price.
An OFS allows promoters or large shareholders of listed companies to sell shares through stock exchanges.
The stake sale is part of the Indian government’s broader divestment and asset monetisation program. It currently holds a 63.13% stake in Coal India.
The government has a divestment and asset monetization target of 800 billion rupees for fiscal year 2027, according to the Union Budget.
Earlier this week, the government sold an 8% stake in Central Bank of India via an OFS.
