Cabinet approves sale of 60.72% IDBI Bank stake to Fairfax
In short
The Union Cabinet approved selling a 60.72% stake in IDBI Bank to a Fairfax Group arm for ₹52,878 crore. The government and LIC would keep a combined 34% in the restructured bank.
This matters because it is a big ownership change for IDBI Bank and a major foreign investment deal. The final RBI fit-and-proper step for the bidder is still not done.
What the reporting says
The Union Cabinet approved the sale of a 60.72% controlling stake in IDBI Bank to a Fairfax Group arm for ₹52,878 crore, with the government and LIC expected to keep a combined 34% in the restructured lender. The reporting says this is a strategic disinvestment and the largest financial-sector FDI, but the final RBI fit-and-proper review for the successful bidder is still pending.
Why it matters
The Union Cabinet approved Fairfax Group’s acquisition of a 60.72% stake in IDBI Bank for ₹52,878 crore, according to the reporting. The government and LIC are expected to reduce their holdings, with some summaries saying they will retain a combined 34% in the restructured bank. The successful bidder still has to present credentials to the RBI under the fit-and-proper process, so completion details remain open.