IDBI Bank Share Price in Focus; DIPAM Fixes February 5 as Last Date for Final Bids

As per Moneycontrol report, the long-running divestment process of IDBI Bank has moved closer to conclusion, with shortlisted bidders now invited to submit their final financial offers. 

Final Bid Invitation and Bidders Involved 

Highly placed sources said the divestment has entered its final stage, with select bidders asked to submit final bids by February 5.  

An invitation for the final bid, including the deadline and final bid document, was sent by the Department of Investment and Public Asset Management in the third week of January to Kotak Mahindra Bank, Emirates NBD and Fairfax India Holdings. Bidders will quote the acquisition price in their final submissions. 

Financial bids will be opened in the presence of transaction advisers, members of the inter-ministerial group and authorised bidder representatives.  

The evaluation and identification of the H1 bidder is expected to be quick, after which the proposal will go to the IMG for recommendation and then to the finance minister for approval. 

Timeline, Approvals and Transaction Structure 

Depending on the government’s strategy and the preparedness of bidders, sources said the process could move forward within the current quarter, with the winning bidder potentially identified by March 2026.  

The final handover to the successful bidder will depend on how quickly subsequent steps are completed and the readiness of the bidder to pay the sale consideration. A 

s per the request for proposal, the successful bidder is expected to pay the full consideration in cash, and the identity of IDBI Bank is expected to be preserved after the divestment. 

Background of the Divestment Process 

The proposal to divest IDBI Bank was first announced in February 2020 during the presentation of the Budget for FY21, followed by the issuance of the request for proposal in October 2022.  

The Reserve Bank of India later cleared four interested bidders on a fit-and-proper basis. In January 2025, closing due diligence at the bank was reported to be underway, and more than a year later, final bids are now being called.  

Under the transaction, Life Insurance Corporation of India is set to offload a 30.24% stake, while the government will divest 30.48%, taking the total stake sale to 60.72%. 

Read More: PSU Bank Stocks in Focus at Budget 2026: Bank of Maharashtra, PNB, Bank of India, SBI and Others! 

IDBI Bank Share Price Performance  

As of February 1, 2026, at 12:05 PM, IDBI Bank share price is trading at ₹101.10 per share, reflecting a gain of 3.36% from the previous closing price. Over the past month, the stock has declined by 2.56%. 

Conclusion 

With final bids due in early February and approvals expected to follow within the quarter, the divestment of IDBI Bank has reached a decisive phase, bringing a multi-year process closer to completion. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.  

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.