Cabinet approves 60.72% stake sale in IDBI Bank to Fairfax for ₹52,877 crore

The Cabinet Committee on Economic Affairs approved selling a 60.72% stake in IDBI Bank to Canada's Fairfax Financial Holdings for ₹52,877 crore.

The proposed transaction includes the central government's 30.48% stake and LIC's 30.24% holding, leaving them with combined retained stakes of 34%.

Analysts note the deal could improve IDBI Bank's operational efficiency and corporate governance, while near-term share prices may experience volatility following recent rallies.