IDBI Disinvestment Is On Track By Central Govt Other Reports Are Misleading Says Dipam

There has been no impact on the process of IDBI Bank Disinvestment. It has proceeded according to the due process. The news of postponing the process of disinvestment of the bank was denied by the government on Friday.

Deepam secretary did this tweet

A fresh tweet in this regard was made from the official Twitter handle of the Secretary, Department of Disinvestment and Public Asset Management (DIPAM). It was said in the tweet, there are reports in a section of the media about the postponement of the process of disinvestment of IDBI Bank, which are misleading and baseless. The deal is progressing as per the due process and several EOIs have been received for this.

Reports appearing in a section of the media indicating the possibility of deferment of IDBI Bank disinvestment are misleading, speculative and baseless. The transaction continues to be on track as per the defined process in post-EoI stage following receipts of multiple EoIs. pic.twitter.com/HL8a1Xc3H5

— Secretary, DIPAM (@SecyDIPAM) Mar 17, 2023

This claim was made in the news

Deepam Secretary has issued this rebuttal when it was being said in several media reports that the Central Government may postpone the process of disinvestment of IDBI Bank. It was being said in the news that the government is apprehensive of potential buyers backing out due to the ongoing turmoil in the market.

Government expects this from the deal

The government is trying to sell its 30.48 per cent stake in IDBI Bank. Apart from this, the government insurance company Life Insurance Corporation of India will also sell its 30.24 percent stake in the bank. At present, the government holds 45.48 per cent stake in IDBI Bank, while LIC holds 49.24 per cent stake in the bank. The government is hoping to raise $4 billion from this disinvestment.

the share will remain

DIPAM manages the government’s stake in public sector undertakings. In October last year, the department had invited EOIs from interested parties to sell the government’s 30.48 per cent stake and LIC’s 30.24 per cent. At present, the government and LIC together hold 94.72 per cent stake in the bank, which will come down to 34 per cent after disinvestment.

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