IDBI Bank Share Price Today: IDBI Bank shares extended their gains on Wednesday, rising for the fifth straight session. The stock gained as much as 5.89% to hit an intraday high of Rs 93.39 per share.
The latest stock upmove takes IDBI Bank's gains to nearly 16% over five consecutive trading sessions, including Wednesday's session.
IDBI Bank Clarifies On Exchange Query
The latest gains come a day after IDBI Bank responded to a stock exchange query regarding a significant increase in trading volumes in its shares across exchanges.
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In its response to the BSE's August 25 query, IDBI Bank said it has been complying with Regulation 30 of the SEBI Listing Obligations and Disclosure Requirements Regulations, 2015, and has promptly informed stock exchanges of all events and information that could have a bearing on the bank's operations or performance, including price-sensitive information.
The lender said there is no undisclosed price-sensitive information or impending announcement that needs to be communicated to the exchanges at this point.
IDBI Bank also said the strategic disinvestment process is being handled by the Department of Investment and Public Asset Management (DIPAM) and that it has disclosed developments related to the process to the stock exchanges from time to time.
The bank added that it would continue to promptly disclose all material events, information and actions as required under the LODR regulations.
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IDBI Bank-Fairfax Deal In Focus
The clarification comes amid heightened market interest in the government's strategic disinvestment of IDBI Bank.
Sources told NDTV Profit on Monday that the proposed IDBI Bank-Fairfax transaction could be close to completion, with the deal awaiting final clearances. According to the sources, the proposal could go before the Cabinet this week or next, while the file was with the Finance Ministry.
The developments have fuelled speculation around the potential transaction and have coincided with the sharp move in IDBI Bank shares.
What IDBI Bank Said About Fairfax Reports
Last month, IDBI Bank said it was “not in a position to either confirm or deny” reports that the government was close to accepting a revised offer from Canada's Fairfax Financial for its stake in the lender.
The bank said the proposed strategic disinvestment is a confidential process being undertaken by the Government of India and that it had not received any communication from the government regarding the finalisation of the transaction.
The clarification came after stock exchanges sought the bank's response to a Business Standard report that the government was close to accepting a revised offer from Fairfax Financial.
IDBI Bank had also clarified that it has no role in the bidding process or negotiations, as the government's strategic disinvestment is being conducted through a competitive bidding process.
The lender said such bidding processes do not entail negotiations and, accordingly, IDBI Bank has had no role in negotiations related to the transaction.
For investors, the focus remains on developments in the government's strategic disinvestment process and any formal announcement regarding the potential transaction.
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