Govt has asked MD & CEO of PSU Banks to List Subsidiaries on Stock Exchanges quickly

On Fridays, Department of Financial Services Secretary M Nagaraju has asked MD&CEOs of state-run banks to “work harder and faster” to list subsidiaries on the stock exchanges.

He was speaking at the listing ceremony of Canara HSBC Life Insurance Company here. Nagaraju said there are over 100 entities and subsidiaries which come under the department headed by him, and listed out the advantages of an IPO.

A listing helps unlock value for the shareholders, and also ups the corporate governance standards at companies as they come under the glare of regulations and investors, he said.

Pointing out specifically to the managing director and chief executives of a slew of big institutions, including Bank of Baroda, Punjab National Bank, Union Bank of India and Bank of India, present in the audience, Nagaraju made the expectations of the government clear.

“… everybody is here. I hope they are getting the message. That you should work harder, faster to list some of your subsidiaries so that people of the country will be able to participate in the value creation,” he said.

Canara HSBC Life Listing on Stock Exchange

Canara HSBC Life opened its subscription on October 10 and closed it on October 14. The company raised a sum of Rs 2,517.50 crore via an offer for sale of 23.75 crore shares. Canara HSBC had set the bidding price at Rs 106 per equity share.

Canara HSBC Life Insurance is a private life insurance company in India, jointly promoted by Canara Bank and HSBC Insurance (Asia-Pacific) Holdings.