Though IDBI Bank opened at the same levels as Tuesday at Rs.87.52, the stock soon soared to an intraday high at Rs.94, not too far from its 52-week high of Rs.98.70.

The stock rose on news that RBI has issued a ‘fit and proper’ report on its divestment process. 

The Govt holds 45.5% stake in the Bank. LIC holds much more than the Govt at 49%. The privatisation plan is to sell Govt’s 30.5% and LIC’s 30.2% stake – a total of 60.7%.

The timing, just before the Budget, is very significant. Hopefully, this time around, the Bank will get privatised after being on the shelf for so long.