The government plans to raise as much as Rs 13,000 crore selling shares in Coal India Ltd (CIL) in July, in the country’s biggest initial public offering, said two government officials with direct knowledge of the sale. CIL, aims to file share-sale documents to the stock market regulator in June, said the officials.
CIL Chairman Partha S Bhattacharyya said though the government had its expectations from the IPO, there would be clarity on how much would be raised subsequent to the decision on the price band. “It depends on the price band that is determined after the BRLM (Book Running Lead Manager) undertakes its price discovery exercise. This is expected to take place early next month. However, the pricing is expected to be such that the government does not lose money and, at the same time, investors also see it as a profitable stock,” Bhattacharyya said.