IDBI Bank Privatisation News: Arunish Chawla , Secretary, Department of Investment and Public Asset Management (DIPAM), has said that work is underway on divestment of select PSUs for FY 2026 and divestment of IDBI Bank will be completed soon.
“You have already seen the first curtain raiser of that calibrated disinvestment strategy with the Mazagon Dock Shipbuilders OFS. You will see a few more, many more of these going forward and almost at regular intervals. We are also working on strategic disinvestments of a few enterprises and together this will be a good year,” he told ET NOW in an exclusive interview.
He said: “IDBI Bank is a multi-stage process but it is going on smoothly on all fronts. We are working on various aspects in parallel.” “The virtual data room has been established and all queries and questions have been resolved. The shareholder agreement is being framed. The asset valuer has been appointed, the transaction advisors are in place. So all these actions going forward should help us reach our destination,” he said.
When specifically asked can shareholders expect it to be announced during first quarter of the current financial year, the DIPAM Secretary said, “I would not prejudge or announce a fixed timeline but as I said, expect good results and we will let you know when the time comes.”
On divestment of other companies like NMDC Steel, Shipping Corporation of India (SCI), he said that “there are about half a dozen other transactions which are proceeding in parallel. These are all complex multi-stage processes and they will mature time by time and you will hear them in the due course.”
IDBI Bank’s shareholding pattern is such that the government and LIC together hold over 95 per cent stake and are looking to divest a combined 60.72 percent. The Central Government, which owns 45.48 per cent, is looking to divest a 30.48 per cent in the lender, while state-owned LIC, which holds 49.24 per cent, has plans to offload 30.24 stake.
