India has received revised financial bids from consortia led by Canada’s Fairfax Financial and Dubai’s Emirates NBD for the sale of a majority stake in IDBI Bank.
The government indicated that the transaction process is likely to be completed within a month, marking a significant step toward closing one of the country’s most protracted public sector bank divestments.
Fairfax Financial Holdings has previously purchased nearly US$1 billion of IDBI Bank shares, signaling strong institutional interest in the lender’s turnaround potential.
IDBI Bank shares surged as much as 4% in Tuesday’s trading session on the National Stock Exchange, opening at ₹85 compared to the previous close of ₹84.07.
The rally was triggered by reports that the Indian government is moving to finalize the deal, with investors pricing in the imminent resolution of ownership uncertainty.
Fairfax Financial Holdings has previously purchased nearly US$1 billion of IDBI Bank shares, signaling strong institutional interest in the lender’s turnaround potential.
The sale represents a critical milestone in India’s broader strategy to reduce its stake in public sector undertakings.