Shares of IDBI Bank were trading higher by 6% to Rs 78.15, extending its 30% rally in past five trading sessions on the BSE after media reports suggest that the government has firmed up plans to bring down its holding in the bank to 49%.
“The department of financial services in the finance ministry is working on the details of the proposal that could be considered shortly,” the Economic Times report suggests quoting unnamed top finance ministry official. CLICK HERE TO READ FULL REPORT.
The finance minister Arun Jaitley in an interview to CNBC-TV18 last week suggested that the government may allow the lender to follow a model similar to that of Axis Bank. The government may consider reducing its holding in the bank, giving it more operational freedom.
The central government currently holds 76.5% stake in the bank.
However, in a notification to the stock exchanges on September 22, IDBI Bank said it had not received any communication from the government on the issue.
The stock hit an intra-day high of Rs 79 and rallied 39% in past six trading days from Rs 56.90 on September 16. The counter has seen huge trading volumes with a combined 16.03 million shares already changed hands on the BSE and NSE till 11:46 a.m.
“The department of financial services in the finance ministry is working on the details of the proposal that could be considered shortly,” the Economic Times report suggests quoting unnamed top finance ministry official. CLICK HERE TO READ FULL REPORT.
The finance minister Arun Jaitley in an interview to CNBC-TV18 last week suggested that the government may allow the lender to follow a model similar to that of Axis Bank. The government may consider reducing its holding in the bank, giving it more operational freedom.
The central government currently holds 76.5% stake in the bank.
However, in a notification to the stock exchanges on September 22, IDBI Bank said it had not received any communication from the government on the issue.
The stock hit an intra-day high of Rs 79 and rallied 39% in past six trading days from Rs 56.90 on September 16. The counter has seen huge trading volumes with a combined 16.03 million shares already changed hands on the BSE and NSE till 11:46 a.m.