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Fairfax gets 15 years to cut IDBI Bank stake to 26%

2026-10-15 · 1 source · Economic Times Banking Finance

In short

Fairfax Financial Holdings will take a 60.72% stake in IDBI Bank. The Reserve Bank of India has let it reduce that stake to 26% over 15 years.

This matters because it shapes who controls the bank and what Fairfax does next. Fairfax also has two years to decide what to do with CSB Bank, but no final choice is stated.

What the reporting says

Fairfax Financial Holdings will acquire a 60.72% stake in IDBI Bank and has been allowed by the Reserve Bank of India to reduce that holding to 26% over 15 years. The report also says Fairfax has two years to decide the future of CSB Bank, including merger or sale options, and wants to turn IDBI Bank into a comprehensive financial services entity. The immediate consequence is a long stake-reduction timetable; the outcome for CSB Bank remains undecided.

Why it matters

Fairfax Financial Holdings will acquire a 60.72% stake in IDBI Bank and has been given 15 years to reduce that ownership to 26% by the Reserve Bank of India. The report says Fairfax also has two years to decide the future of CSB Bank, including merger or sale options. The deal affects bank ownership, strategy, and potential restructuring.

Touches: Fairfax Financial Holdings, IDBI Bank, CSB Bank, Banking, Markets, Government

Sources