While no final decision has been reached, sources suggest that the stake sale process remains active, and the government is seeking a viable strategy, particularly in establishing an “unimpacted price” for the transaction.
The government is facing significant fluctuations in the stock’s valuation. IDBI shares have experienced a broad 52-week range, from approximately ₹60–65 at the lower end to around ₹118 at its peak, complicating the determination of a fair benchmark price.
As a result, a reassessment of the reserve price methodology may be forthcoming, especially since IDBI Bank’s financial bids are below the minimum price set by the government. However, following recent market volatility, the situation has changed, with IDBI Bank’s current market price dropping below the bid price.
This development raises the prospect for the government that a recovery towards the bid price could facilitate the transaction’s revival, while also leaving the option open for inviting new bids, allowing bidders to propose a revised price.
Moreover, sources report that a “technical and financial evaluation” of the disinvestment is ongoing. A decision regarding the next steps is anticipated within the next 10 to 14 days, keeping all options on the table.
On March 13, the financial bids for IDBI were opened by the government, but they fell below the reserve price, resulting in a halt to the transaction.
First Published: Apr 8, 2026 10:56 PM IST
