IDBI, LIC Stake Sales Planned by Indian Government

The Indian government plans to invite financial bids for the strategic sale of a 60.72% stake in IDBI Bank during the third quarter of fiscal year 2025-26, with the winning bidder to be finalized by the end of that fiscal year. Due diligence and data room protocols with interested parties have been completed, and the process awaits final approval from the Reserve Bank of India. The sale, involving both government and LIC holdings, is intended to transfer management control to private ownership and attract fresh capital and technology. Interest has been expressed by several domestic and potential overseas investors. In addition, the government is preparing to sell a minority stake in LIC, appointing merchant bankers and legal advisors for both transactions. These moves are part of a broader strategy to meet public shareholding requirements and manage state-run company capital in uncertain global conditions.