Bank of Maharashtra’s OFS closed for subscription at a floor price of Rs 54 per share on Wednesday. At this price, the government would rake in around Rs 2,492 crore by divesting its 6 per cent stake in the lender.Before the OFS, the government’s stake in the bank was 79.60 percent. With the dilution of the stake to 73.6 percent, the bank would be able to meet the MPS standard of 25 percent, as the government stake would fall below 75 percent.
“The second day of the Bank of Maharashtra OFS concluded with good interest from investors and 1.72 times more registrations. With this, the Bank now complies with the Minimum Public Shareholding. We thank all investors for their participation,” Department of Investment and Public Asset Management (DIPAM) Secretary Arunish Chawla said in a message on
The government decided on Tuesday to make use of the green shoe option by divesting an additional 1 percent stake in the bank.
The base offer included 38.46 crore shares, representing 5 per cent of the bank’s paid-up share capital, with another 7.69 crore shares, or 1 per cent stake, available under the green shoe option, taking the total to over 46.14 crore shares, or 6 per cent stake in the lender.
The share dilution was in accordance with the Securities Contract (Regulation) Rules issued by the Securities and Exchange Board of India, which require all listed companies, including those in the public sector, to have a minimum public shareholding of 25 percent.
Capital market regulator Sebi has extended forbearance to CPSEs and public sector financial institutions till August 2026.
Other four lenders where government share exceeds the minimum threshold for public shareholding are Indian Overseas Bank with 94.6 percent, Punjab & Sind Bank with 93.9 percent, UCO Bank with 91 percent and Central Bank of India with 89.3 percent.
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