Public Market

IPO

Govt to raise Rs.13,000-Cr via OFS in P&S Bank, UCO Bank, IOB

Mint  

The Government of India plans to raise about Rs.13000-Cr through a coordinated offer for sale (OFS) of stakes in Punjab & Sind Bank, UCO Bank, and Indian Overseas Bank. The proposed 8-10% stake dilution is intended to comply with the minimum public shareholding (MPS) norms prescribed by the Securities and Exchange Board of India (Sebi).These public sector banks have recorded improved financial performance, marked by higher profitability, enhanced asset quality, and stronger capital positions.Sebi regulations mandate a 25% minimum public shareholding for all listed companies. While public sector banks have previously received extensions, the current relief from potential penalties for non-compliance remains valid until September 2026. The government continues to execute its disinvestment strategy to meet annual capital receipt targets.