Business / Bank privatisation news Shriram Group likely to submit EoI for privatisation of IDBI Bank

Bank Privatization News: The government is working fast regarding the privatization of banks. Soon work is being done to make another government bank private (bank privatisation latest news). Finance Minister Nirmala Sitharaman had given information about this in the budget. Let us tell you that the government is making many changes to improve the banking system of the country. Bids for IDBI Bank privatization are likely to be invited by March.

Bids will be invited by March

According to information received quoting sources, Shriram Group is working for possible bidding of IDBI Bank. The government has said that there is a possibility of inviting bids by March. Shriram Group may soon submit EoI for this.

Group may set up a separate holding

According to media reports, sources have told that Shriram Group is a financier, headquartered in Chennai. At present, this group may set up a separate holding company to participate in the privatization of IDBI Bank.

What is the business of Shriram Group?

R Thiagarajan-led Shriram Group is currently focusing on commercial vehicle financing, two wheeler financing as well as small and medium businesses. Shriram Group may create a platform for IDBI Bank as a bidder.

Privatization will happen in two phases

The government has said that IDBI Bank will be privatized in two phases. EOI will be submitted first by those interested in it. The eligibility of participants in the RBI privatization process will be assessed and they will be required to pass the regulator's "fit and proper" test and obtain government security clearance.

Government will sell stake

According to information received from the Department of Investment and Public Asset Management (DIPAM), the government and LIC are selling about 60.72 percent stake in IDBI Bank. Together they hold 94.72 per cent of the bank.