The bank will invite bids from those interested in buying the stake, PNB sources told PTI.
"In the next two days we will invite bids through a public notice. We at present hold 74 per cent, we are going to divest the entire stake," sources said.
Earlier, media reports have said the state-run bank would sell only 26 per cent stake in PNB Gilts. The sources also said the bank has appointed Enam Securities as the merchant banker for the sale process.
In a filing on the Bombay Stock Exchange, PNB said the bank has initiated the process of selling its stake in PNB Gilts Ltd.
The same information was also filed by PNB Gilts on the exchange.
PNB Gilts, a subsidiary of PNB, is a primary market dealer. It derives its revenue from brokerage arising out of dealing in government securities and interest income besides from trading profit in the same.
The sources said PNB can undertake these activities through the bank itself. As such, there is no relevance in having a subsidiary for the purpose.
PNB Gilts shares were down 1.54 per cent at Rs 19.15 today on BSE today.
