IDBI Bank Disinvestment: The Government of India and the country’s largest insurance company LIC are going to sell their stake in IDBI Bank. And the names of the three potential buyers in the race to buy this stake have now been revealed. Fairfax Financial Holdings, Emirates NBD and Kotak Mahindra Bank are ahead in this race. The regulator of the banking sector has completed its review of potential buyers buying majority stake as bidders.
This information has come to light quoting Reuters. The sources, without revealing their identity, said that this discussion is not in the public domain yet. The Finance Ministry, Fairfax Financial Holding, Emirates NBD and Kotak Mahindra Bank did not respond to requests for comment on this. The government is in talks with those who have shown interest in buying IDBI Bank and upon completion of the evaluation, they will get access to the private data of IDBI Bank.
The Government of India has 45.48 percent stake in IDBI Bank while LIC has 49.24 percent stake. Both the government and LIC together are preparing to sell 60.7 percent stake in IDBI Bank.
Toronto-based Fairfax India Holdings is a company backed by Canadian billionaire Prem Watsa that invests in securities of private companies as well as debt instruments in India. Emirates NBD offers financial services from UAE to India and Saudi Arabia. Kotak Mahindra Bank is one of the leading private banks in the country. By the end of this financial year, the government may invite bids for IDBI Bank.
In today’s trading, IDBI Bank stock closed at Rs 100.01 with a decline of 3.54 percent.
read this also
GST Rate: The Standing Committee of Parliament also recommended the government to reduce the GST rate on health-life insurance products