Tag: idbi

Shares of IDBI Bank were up 8 percent at Rs 59.7 on the BSE in Friday’s intra-day trades in an otherwise subdued market after capital market regulator Securities and Exchange Board of India (Sebi) acceded to the central government’s request to reclassify its shareholding in the Bank after its disinvestment as “public holding”.The government, with a more than 45% stake in IDBI Bank, is currently classified as a co-promoter of the lender, which will be reduced to 15 percent after divestment. The government is looking to sell its 30.48% stake in IDBI Bank, while state-backed LIC will offload its 30.24% share in the lender. Also, the government must specify its intention to reclassify its shareholding in the bank as “public holding” in the letter of offer dispatched to the shareholders of the bank in connection with the open offer made by the acquirer. Read more

Indian benchmark indices started higher today(21st December 2021), after two days of relentless selling, on the back of broad-based buying. The BSE Sensex climbed 468.5 points at 56,290.5 level while the Nifty50 tested the 16,750-mark, up 128 points. Soon after, the indices extended gains and hit highs of 56,504 (up nearly 650 points) and 16,807 (up 192 points). All the 30 index constituents on the Sensex were ruling higher led by Titan (up 2.5 percent), HCL Tech, Tata Steel, L&T, and ICICI Bank. On the Nifty, only Eicher Motors was in the negative zone. In the broader markets, the BSE MidCap and SmallCap indices on the BSE gained up to 1 percent. Among individual stocks, the shares of IDBI Bank were up 1 percent after the bank clarified that Mumbai-based diamond merchant Sanghavi Diamonds has defaulted on a loan worth Rs 16.72 crore as against the reported amount of Rs 6,710 crore. Read more

The government has initiated consultations with the Reserve Bank of India (RBI) to devise a new security clearance framework for screening potential bidders of public sector banks (PSBs) as it kick-starts the privatisation process, beginning with the strategic divestment of IDBI Bank. As the government is moving ahead with strategic divestment of IDBI Bank and is looking to privatise two PSBs, the Department of Investment and Public Asset Management (DIPAM) is looking to put in place an appropriate framework as the potential buyers will have to meet the RBI’s fit and proper criteria, according to an official. Read more

The benchmark indices in Indian markets traded with slim gains in today's(6th May 2021) morning deals amid favourable cues from other Asian markets. The S&P BSE Sensex hovered around 48,820 levels, up 150 points, and the Nifty50 index topped the 14,650-mark. Bajaj Auto, ONGC, and Bajaj Finance gained 1 percent, each, and were the top Sensex gainers. Among other individual stocks, IDBI Bank zoomed 15 percent after the Cabinet Committee on Economic Affairs gave its in-principle approval for strategic disinvestment along with transfer of management control in the bank. The Nifty sectoral indices were painted green, led by the Nifty Metal index, up 2.8 percent. Read more

Shares of IDBI Bank jumped 10.6 per cent to hit an intra-day high of Rs 37.4 on the BSE on Tuesday after a Business Standard report stated that the Cabinet will soon consider the proposal to sell the government’s 45.5 per cent stake in the company, paving the way for strategic divestment in the lender. The cabinet approval will give the Department of Investment and Public Asset Management (DIPAM) the authority to move ahead with the divestment process,. The government had planned to sell its balance stake in IDBI Bank to private, retail, and institutional investors through the stock exchange in the last financial year. However, the pandemic delayed the plan, which the government intends to complete this year."DIPAM cannot move forward with the divestment process until approval from the cabinet is received, given that banks come under work allocation of the DFS. After the cabinet's approval, intermediaries can be appointed," an official told Business Standard.

Share of IDBI Bank opened 17 per cent higher at Rs 44.80 on the Bombay Stock Exchange after Reserve Bank of India (RBI) removed the lender from the prompt corrective action framework, subject to certain conditions and continuous monitoring. IDBI Bank was removed from the RBI's prompt corrective action (PCA) framework on Wednesday after a gap of nearly four years on improved financial performance. Under the prompt corrective action (PCA), the banking regulator restricted big-ticket loans to stem the surge in risky assets. That meant the lender was not allowed to grow and had to focus its energies on fixing its legacy dud loans and its balance sheet. The performance of the bank was reviewed by the board for financial supervision (BFS) in its meeting held on February 18, 2021, and it was noted that as per published results for the quarter ending December 31, 2020, the bank is not in breach of the PCA parameters on regulatory capital, net NPA and leverage ratio. Read more

Shares of IDBI Bank hit 20 per cent upper circuit at Rs 24.35 per share on Monday after the bank reported a profit in the March quarter of FY20 after reporting losses for 13 straight quarters. The lender posted a profit of Rs 135 crore for the March quarter on account of recoveries from bad loans. It had posted a net loss of Rs 4,918 crore in the corresponding period of last year. Total income rose to Rs 6,925 crore as against Rs 6,616 in the fourth quarter of 2018-19. The Bank posted a profit before tax (PBT) of Rs 289.66 crore for March 2020 on healthy rise in net interest income and a sharp drop in provisions and contingencies. The bank had posted a loss before tax of Rs 7,136 90 crores in quarter ended March 2019 (Q4FY19).IDBI said net interest income (NII) improved by 46 per cent to Rs 2,356 crore for March quarter compared with Rs 1,609 crore last year same period. The bank made COVID-19-related provisions of Rs 247 crore during the quarter against standard assets. Read more