Upcoming PSU IPOs: Top 5 Strategic Listings to Watch in 2026

New Delhi, February 25, 2026 — The Indian primary market is witnessing a massive "Sarkari" wave as the Government of India aggressively pursues its ₹1.79 lakh crore divestment target. The strategy for 2026 is clear: unlocking massive value from high-performing subsidiaries, with a laser focus on Renewable Energy and Mining sectors.

For retail investors, these PSU IPOs offer a unique advantage: the Shareholder Quota. By holding shares in parent companies, investors often gain a strategic edge in allotment probabilities.

Here is your definitive guide to the top 5 upcoming PSU IPOs and strategic listings slated for 2026 and early 2027.

1. NLC India Green Energy Limited (NIGEL)

Following the blockbuster success of the NTPC Green Energy listing, NLC India is fast-tracking the public debut of its green arm, NIGEL. This entity is a cornerstone of India’s energy transition.

Expected Timeline: First Half of 2026 (H1 2026).
Project Pipeline: Over 8 GW of renewable projects are already lined up.
Strategic Goal: Aiming for 10 GW renewable capacity by 2030.

2. SJVN Green Energy Limited (SGEL)

A wholly-owned subsidiary of SJVN Ltd, SGEL is a heavyweight in the renewable space. The Department of Investment and Public Asset Management (DIPAM) has already initiated the listing process to tap into the high market appetite for ESG-compliant stocks.

Estimated Issue Size: Approximately ₹5,100 crore.
Expected Timeline: Second Half of 2026 (H2 2026).

3. CMPDI (Coal India Subsidiary)

The Central Mine Planning & Design Institute (CMPDI) is a critical technical arm of Coal India. Its listing is part of a broader government mandate to make Coal India subsidiaries independent entities to fund sector-wide expansion.

Key Role: Essential consultancy and infrastructure planning for India's mining sector.
Expected Timeline: Around March 2026 or shortly thereafter.

4. IIFCL (India Infrastructure Finance Company Ltd)

The 100% state-owned IIFCL is moving toward partial public ownership. As of early 2026, the company has confirmed it is preparing for a public debut to dilute the government’s stake and strengthen its capital base.

Stake Dilution: The government plans to offload up to 25% of its holding.
Expected Timeline: Late 2026, with a formal listing slated for FY 2027.

5. IRFC (Indian Railway Finance Corporation) – Offer for Sale (OFS)

While not a fresh IPO, the government is executing a significant Offer for Sale (OFS) in IRFC to meet its divestment goals and increase public float.

Status: Divesting up to 4% stake (2% base + 2% green shoe option).
Investor Note: This offers a window for investors to accumulate shares at a government-mandated floor price.

Recent Success Story: BCCL Sets the Bar

The massive demand for PSU assets was proven in January 2026 by Bharat Coking Coal Limited (BCCL), a Coal India subsidiary.

IPO Price: ₹23 per share.
Debut Price: ₹45 per share (95.65% Listing Gain).
Subscription: The issue was oversubscribed 143.85 times, signaling immense investor confidence in "Sarkari" mining assets.

Why These IPOs are High-Priority for Investors

Shareholder Reservation: Parents like Coal India and SJVN typically reserve a 10% quota for their existing shareholders, significantly increasing allotment chances.
Dividend Income: PSUs are historically known for consistent and healthy dividend payouts, making them ideal for "Income" investors.
National Priority Sectors: Most upcoming listings are in Green Energy and Infrastructure, sectors that received the highest allocations in the Union Budget 2026.

Quick Links for Tracking:

Monitor Draft Red Herring Prospectuses (DRHP) on the SEBI Official Website.
Track live subscription figures on NSE India.

Disclaimer: Stock market investments are subject to market risks. Please read the Red Herring Prospectus (RHP) carefully and consult a SEBI-registered financial advisor before investing.