Page 2 - Idbi Bank Deal

IDBI Bank: Corporates cannot be bidding consortium members, says official

Large corporates have been disallowed from being even a minority shareholder in consortium wanting to bid for 61 per cent stake in IDBI Bank, as the current RBI norms bar industrial houses from becoming bank promoters, an official said. Currently, RBI guidelines allow industrial houses to hold a maximum of 10 per cent stake in private sector banks, but they cannot be a promoter. Last week, the government along with Life Insurance Corporation (LIC) invited Expression of Interest (EoI) for selling 60.72 per cent stake in IDBI Bank. However, it barred large industrial houses from participating in the strategic sale. As per the bid document, 'large industrial/corporate houses' has been defined an industrial/ corporate group with assets of Rs 5,000 crore or more with the non-financial business of the group accounting for 40 per cent or more in terms of total assets/ gross income. An official said that corporate houses have not been permitted to participate in the bidding process for IDB

Govt likely to invite preliminary bids for IDBI Bank stake sale next month

The government is likely to invite preliminary bids for selling a stake in IDBI Bank next month and the discussions with the RBI are at the final stages, an official said. "There are still some pending issues that need to be discussed with the Reserve Bank of India and Securities and Exchange Board of India. We are hopeful of issuing the EoI by September," the official told PTI. The official, however, did not divulge details of regulatory issues on which the government is holding discussions with banking and equity market regulators RBI and Sebi, respectively. "Since IDBI Bank would be first of its kind with regard to privatisation in the banking sector, we are expecting a lot of investor queries to come in once the Expression of Interest (EoI) is floated. The stake sale is unlikely to conclude this fiscal," the official added. The Cabinet Committee on Economic Affairs had given in-principle approval for strategic disinvestment and transfer of management control in IDBI Bank in May

IDBI Bank's CEO says the lender can recover $2.4 billion in bad loans

India is considering selling at least 51% of the $5 billion bank, people familiar with the matter have said

Top Headlines: IDBI might merge with pvt bank, Sensex valuation & more

The conditions for the strategic divestment of IDBI Bank could facilitate its merger with other financial entities, including commercial banks, said an official. Read more in our top headlines

IDBI Bank divests its entire 19.18% stake in ARCIL to Avenue India

IDBI Bank on Wednesday said it has divested its entire stake of over 19 per cent in ARCIL to Avenue India Resurgence Pte. The lender, however, did not disclose the deal value. "...IDBI Bank has sold its entire holding of 6,23,23,800 fully paid-up equity shares constituting 19.18 per cent of the total equity share capital of Asset Reconstruction Company (India) Ltd. (ARCIL) on May 18, 2022 to Avenue India Resurgence Pte. Ltd," IDBI Bank said in a regulatory filing. With this, the LIC-controlled lender said it ceases to be a sponsor shareholder of ARCIL. Stock of IDBI Bank closed 0.39 per cent down at Rs 38.10 apiece on BSE.

Top headlines: Govt plans IDBI sale; chief economist Gopinath to leave IMF

India's drug regulator is examining recommendation by experts for approving Bharat Biotech's Covaxin for children. More in top headlines this morning.

Govt seeks to appoint advisors to assist IDBI Bank privatisation

The govt plans to sell its 45.48% shareholding in the lender. LIC, which owns 49.24%, will also offload its stake to transfer management control to new buyer

IDBI Bank surges 10% on fund raise plan, proposal to sell stake in IFLI

At its meeting held on Wednesday, April 8, 2020, the Board of Directors approved the rupee bond borrowing limit of Rs 7,500 crore for FY 2020-21 to be borrowed in one or more tranches, IDBI Bank said

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.

LIC seeks CCI's approval for acquisition of majority stake in IDBI Bank

IDBI Bank had said that LIC's open offer to purchase shares from the minority shareholders of the state-owned bank will kick-start from December 3