IDBI Bank rallies 17% as FM Sitharaman proposes to sell entire govt stake

The government, which continues to be a promoter, holds around a 46.5 per cent stake in IDBI Bank and is classified as a private bank following LIC's acquisition.

Shares of IDBI Bank surged up to 17.4 per cent to Rs 39.8 on the BSE on Saturday after finance Minister Nirmala Sitharaman said that the government would sell its entire stake in the bank to private players.

The finance minister made the announcement while presenting the Union Budget for financial year 2020-21.

At 12:52 pm, the stock was trading at 16.96 per cent higher at Rs 36.65 apiece. In comparison, the benchmark S&P BSE Sensex was at 40,632.99, down 0.22 per cent.

The government, which continues to be a promoter, holds around a 46.5 per cent stake in IDBI Bank, and is