IDBI Bank share price skyrockets 12% on divestment buzz. Do you own?

Stock Market Today: IDBI Bank share price skyrocketed 12% during the intraday trades on Thursday on divestment buzz.

IDBI share price movement

IDBI Bank share price opened at ₹73.88 on the BSE on Thursday, with only slight gains over the previous close of ₹73.73. The IDBI Bank share price thereafter skyrocketed to intraday highs of ₹82.45, which marked sharp gains of almost 12%

IDBI Bank share price had seen sharp correction since its highs of ₹107.98 in July 2024 to 1 year or 52 week lows of ₹65.89 on 13 January however has seen some recovery led by todays gains, in the back of newsflow around divestment

IDBI divestment news

The newsflow on divestment process caught attention of market particpants as Moneycontrol reported that the state-run lender has moved to the next stage of its divestment process. As per Moneycontrol the process advisor KPMG is set to submit closing dilligence soon Closing Dilligence is to aid bidders to form financial bids.

The bidding process is likely to completed by next fiscal. IDBI Bank potential bidders include Fairfax Financial: A company owned by Prem Watsa, Emirates NBD, which is a bank and Uday Kotak led Kotak Mahindra Bank. The Reserve Bank of India (RBI) has already approved these companies as potential bidders for a majority stake in IDBI Bank.

IDBI Bank Expets views

Mahesh M Ojha, AVP — Research at Hensex Securities , said that "IDBI Bank's share price is skyrocketing today on the stake sale buzz. The divestment process advisor, KPMG, is set to submit its closing diligence report, which will pave the way for the bidding process. The divestment in the bank is expected to bring liquidity, and hence, the market is trying to discount that upside potential caused by the liquidity.

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