Bank privatization latest news: The government is working fast regarding bank privatization. The government is looking to privatize a public sector bank as soon as possible. There is news that the government may sell its stake in IDBI Bank. For this, a plan is being made to invite Expression of Interest (EoIs) in May. Earlier, the government had planned to invite EoI for privatization of IDBI Bank in April. Today on Wednesday, the share of this bank jumped up to 9% to reach Rs 49.10.
The process will be completed in the financial year 2022-23
This process can be completed in the current financial year 2022-23. Sources with knowledge of the matter have said that the roadshow for the disinvestment of IDBI Bank is not over yet. The government is now planning to invite EoIs in May. Actually, the delay is due to the turmoil in the market after the LIC IPO and the Russia-Ukraine crisis.
Also read- After giving a multibagger return of 176%, now this share of Tata Group will go to ₹ 316, expert said – buy
According to media reports, the government is targeting to complete the privatization of IDBI Bank in FY23 and this will happen within the current RBI framework. It may be noted that corporate houses have not been included as bidders/promoters of banks in the Reserve Bank of India (RBI) rules. Explain that through this disinvestment, the government is planning to sell its entire 45.48 percent stake.
Also read- Anil Ambani’s bankrupt company disclosed the list of buyers, shares became rockets as soon as these names came
Government and LIC hold 94% stake
Government and LIC hold more than 94% stake in IDBI Bank. In this, LIC holds 49.24% stake and the government holds 45.48% stake in the bank. The government may consider selling around 26% stake in the bank along with management control to attract investors. After this, the government can consider selling its entire stake in the bank.