IFCI may rope in strategic investors

The finance ministry is mulling induction of some strategic investors in IFCI Ltd. as part of a restructuring package for the domestic financial institution, a senior banking division official said today.

"We are looking to get some strategic investors in IFCI as part of the restructuring exercise. Some investors have already evinced interest in picking up a stake in IFCI," the official said. "The final decision, though, will be taken by the IFCI management," the official said.

The official refused to name the investors looking to buy stake in IFCI.

Media reports have said Citibank has expressed interest in acquiring stake in IFCI at Rs 52 a share to the finance ministry.

The official said while government has no direct holding in IFCI, it wants to devise a restructuring package for India's oldest financial institution hat has incurred steep losses.