IDBI Bank's proposed stake sale likely to run into regulatory hurdle

Sebi raises concern over low public float in the lender

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The Centre is eyeing a valuation of about Rs 60,000 crore, which is 25 per cent more than its current market value

Shrimi ChoudharySamie Modak New Delhi/Mumbai
The proposed stake sale in IDBI Bank by the government may run into a regulatory obstacle on the issue of minimum public shareholding.

The Centre and the Securities and Exchange Board of India (Sebi), the market regulator, may be at odds over a minimum public shareholding in the lender.

Sebi is concerned over the low public float in the lender and the proposed strategic disinvestment may extend the road map to achieve this, a senior regulatory official privy to the discussion told Business Standard.

The government has sought a special dispensation from Sebi with regard to the public float in IDBI Bank. However,

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First Published: Oct 28 2022 | 12:16 AM IST

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