Cabinet committee clears sale of 60.72% of IDBI Bank to Fairfax for ₹52,878 crore

What happened

• The Cabinet Committee on Economic Affairs approved the sale of a 60.72% stake in IDBI Bank to Fairfax Financial Holdings for ₹52,878 crore, according to Business Today, Business Standard and Sahi. Business Today put the exact figure at ₹52,878.08 crore.
• The government is selling 30.48% and Life Insurance Corporation of India (LIC) 30.24%. After the sale the government will hold 15% and LIC 19%, Business Today reported.
• Fairfax's winning bid was ₹81 a share, against a benchmark fair value of ₹75.99 set by two independent valuers, Business Today said.
• Fairfax still needs the Reserve Bank of India's fit-and-proper clearance and security clearance from the home ministry, and an open offer for further shares is to follow, according to Business Today. Sahi said a formal share purchase agreement is also pending.
• IDBI Bank shares closed at ₹90.39 on Kite data, above the ₹81 bid price, after a day high of ₹93.60.

Why it matters

Good to know: An open offer is a mandatory offer to the remaining public shareholders to buy their shares, triggered when a buyer takes a controlling stake in a listed company.

Key facts

Stake approved for sale

60.72% (government 30.48%, LIC 30.24%)

Value

₹52,878 crore

Bid price

₹81 a share (benchmark ₹75.99)

Holdings afterwards

Government 15%, LIC 19%

Read the source

• Centre approves Fairfax Financial's ₹52,878 crore bid for 60.72% stake in IDBI BankBusiness Today
• CCEA approves sale of 60.72% stake in IDBI Bank to Fairfax for ₹52,878 crBusiness Standard
• Government Allows Fairfax to Acquire IDBI Bank Stake for ₹52,878 CroreSahi

IDBI Bank in the news before

1. 19 OCT 2026 · RESULTSIDBI Bank's Q2 profit falls 39% to ₹2,205 crore against a year-ago ₹1,699 crore NSDL gain