IDBI Bank gains 12% ahead of Irdai meeting

IDBI Bank had underperformed the market by falling 41% from its recent high of Rs 84 on March 5, 2018, as compared to 3.8% rise in the S&P BSE Sensex till Thursday.

IDBI Bank has rallied 12% to Rs 55.85 on the BSE on  the back of heavy volumes ahead of the Insurance Regulatory and Development Authority of India (Irdai) meeting today to consider Life Insurance Corporation’s (LIC’s) proposal to pick up a substantial stake in the bank.

“The board of Irdai, which is meeting on Friday, may grant exemption to LIC from the rule that bars an insurer from holding more than 15% equity stake in any company, according to a government official. The insurance regulator might put some caveats and could ask India’s largest insurer to bring down its