A looming question over the financial world: who will take control of IDBI Bank? As the suspense builds, the path to privatisation of this government sector bank is now clear. Three potential buyers have emerged, each receiving fit and proper certificates from the Reserve Bank of India (RBI). The front-runners in this high-stakes race are Fairfax Financial, led by Indian-origin Canadian banker Prem Watsa, Emirates NBD, and Kotak Mahindra Bank. Among these, Fairfax Financial is leading the charge.

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IDBI Bank, with the government holding a 45.5% stake and LIC owning more than 49%, has long been on the privatisation list. Initially a financial institution, IDBI transitioned into a bank, with the government now planning to sell a 60.7% stake—comprising 30.5% from the government and 30.2% from LIC. Currently valued at around Rs 1,08,814.31 crore, experts suggest that privatisation will proceed smoothly given IDBI's private entity status. The government’s increased stake over the years was a result of necessary capital infusions to mitigate significant debt-related losses.

Eyes are now on the Department of Investment and Public Asset Management (DIPAM) Secretary Tuhin Kant Pandey’s recent announcement. In a recent interview, Pandey indicated that the strategic sale of IDBI Bank is on track to conclude this year. The RBI is currently evaluating the shortlisted bidders for their fit and proper status. Once cleared, these bidders will gain access to exclusive IDBI Bank information in a virtual data room to conduct due diligence. 

With the financial year's end approaching, the strategic sale of IDBI Bank is expected to reach its conclusion, marking a significant shift in India's banking landscape. The suspense continues as stakeholders and the public await the final decision that will shape the future of IDBI Bank.