IDBI Bank stake sale: RBI vetting process in last leg, report by month-end

The Indian government awaits the RBI’s assessment of potential bidders for IDBI Bank by month-end to expedite the majority stake sale. Four bidders have submitted initial bids, with all but one meeting RBI's 'fit and proper' criteria. The central bank’s clearance is pivotal for strategic disinvestment, aiming for completion this financial year. Bidders will access the bank’s virtual data room for due diligence post-clearance. Regulatory approvals, including a draft share purchase agreement, are prerequisites before financial bids are called. The sale involves transferring 60.72% stake, retaining 34% between LIC and the government post-sale, ensuring a smooth transaction amidst regulatory exemptions sought.