IDBI Bank in limelight

IDBI Bank is in the limelight today morning. From its close of yesterday at Rs.19.85, it opened today at Rs.21.40 and went on to an intraday high at Rs.21.95. Its 20% UC for today is at Rs.23.80.

The stock price has soared after its Board approved stake sell in IDBI Federal Life Insurance Company. The stake sell is being planned to the tune of 23 to 27%.

This apart, the Board has also approved the exercise of Call Option on the Bank's Perpetual Tier 1 Bond Series I of Rs 245.10 crore due on June 22, 2020, subject to RBI approval.

Board also gave its nod to Rupee Bond Borrowing limit of Rs 7,500 crore for FY21, to be borrowed in one or more tranches comprising of additional Tier I Bonds up to Rs 3,000 crore, Basel III Tier 2 bonds up to Rs 3,500 crore and Senior/Infrastructure Bonds up to Rs 1,000 crore by way of private placement during FY21.