PSU BANK STOCK TO KEEP ON YOUR RADAR AS GOVT TO DIVEST PART OF IT'S STAKE

The government is set to divest up to a 6% stake in

to comply with public shareholding regulations, out of which 5% will be equity along with an additional 1% as a green shoe option. At the end of the Sept25 quarter, the government held a 79.60% stake in the bank which will now come down to below 75% in order to comply with the minimum public shareholding norm. This step comes in in line with SEBI's rules which mandate that all listed companies, including those in the public sector, must have a minimum public shareholding of 25%. Other listed PSU banks where the government's stake is more than the minimum public shareholding threshold are , , , and .