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Kotak Mahindra Bank on Friday clarified that it has not submitted any bid for IDBI Bank, responding to speculation surrounding the government-led disinvestment of the public sector lender.
In a statement to stock exchanges, Kotak Mahindra Bank said it has not participated in the bidding process for acquiring a stake in IDBI Bank. The clarification comes as the Centre and Life Insurance Corporation of India (LIC) continue efforts to sell a majority stake in IDBI Bank as part of the broader privatisation drive.
Media reports and market chatter had suggested that several private lenders and investors were evaluating a potential bid for IDBI Bank, prompting Kotak Mahindra Bank to issue a formal denial to avoid misinformation.
The government and LIC together hold around 95 per cent stake in IDBI Bank and are seeking to divest a controlling share to a strategic investor. The sale process has drawn interest from domestic and foreign entities, though the list of final bidders is yet to be officially disclosed.
IDBI Bank, which has shown improvement in asset quality and profitability in recent quarters, remains one of the key privatisation candidates in the banking sector. The government has repeatedly stated that it aims to complete the stake sale after due regulatory approvals and market conditions align.
Kotak Mahindra Bank’s clarification is expected to bring clarity to investors amid heightened focus on consolidation and ownership changes in India’s banking space.
