Preparations to sell IDBI Bank complete, waiting for cabinet approval

IDBI bank

New Delhi: The central government wants to sell its entire stake in IDBI Bank. The government has expedited the process of selling the shares. According to the information, a draft note has been prepared for the share sale and there is a possibility of getting approval from the cabinet soon. There is a plan to sell government share in this business year. Explain that the government has a 46.5 percent stake in IDBI Bank. IDBI was a government bank, formed in the country in 1964. LIC had bought 51 per cent stake in IDBI by investing 21000 crores. After this, LIC and the government together gave 9300 crore rupees to IDBI Bank. LIC’s stake in this was Rs 4,743 crore.

Finance Minister Nirmala Sitharaman, in her budget speech in February 2020, announced the sale of shares in IDBI Bank and LIC. The target was to raise Rs 90,000 crore by selling stakes in both.

The government has also started preparing to sell its entire stake in SCI. If conditions are better then bids can be called in the next quarter itself. According to sources, the government wants to sell its entire 63.75% stake. If the situation is good on the economic front, then bids can be called in the next quarter. There has been a good response from merchant bankers, investment advisors for stake sales.