Government will infuse capital of 9 thousand crores in IDBI Bank. In this, LIC will give 4700 crores rupees. At the same time, the government will give 4557 crore rupees. This decision was taken in the cabinet meeting held on Tuesday. With this, the bank’s capital adequacy ratio rose to 11 percent, followed by IDBI Bank’s share and rose to Rs 29.40.
IDBI Bank owns the country’s largest insurance company LIC. The government had announced a grant of 70 thousand crore rupees to all public sector banks.
The bank has been making losses for 11 consecutive quarters. IDBI Bank holds 46.5 percent of the government, 51 percent of LIC and 2.5 percent of the general public.
LIC has bought a stake in this bank by paying 20 thousand crores. The share price at the time of the bank’s open offer was Rs 61, which has now come to Rs 29.
LIC made an open offer for 26 percent of this bank at Rs 61.7. Today IDBI Bank stock opened at Rs 26.75. The stock touched a high of 29.65 percent.
On August 27, S&P Global Ratings put IDBI Bank’s BB Long Term and B Short Term Foreign Currency Issuer Credit Rating into the credit watch category with negative impact.