Coal India Clarifies BCCL Rare Earth Report After Share Price Movement
New Delhi: State-owned mining major Coal India Limited (CIL) on Monday issued an official clarification following a sharp movement in its share price, stating that reports suggesting that Bharat Coking Coal Limited (BCCL) would use IPO funds to diversify into rare earth metals are factually incorrect.
In a regulatory filing to stock exchanges, Coal India said it had observed a material price movement (MPM) in its shares on January 12, 2026, after a media report titled “Fund from IPO will help Bharat Coking Coal Limited diversify into rare earth metals” appeared.
The company clarified that while BCCL has issued an Offer for Sale (OFS), the entire proceeds from the issue will accrue to Coal India Limited, the holding company, and not to BCCL for diversification activities.
“This is for the information and record of investors,” the company said in its disclosure under Regulation 30(11) of SEBI Listing Regulations.
Coal India is a Maharatna PSU and the world’s largest coal producer, playing a critical role in India’s energy security.