The Government of India has announced an Offer for Sale (OFS) of its equity shares in Central Bank of India. The sale covers 4% of the bank’s total equity, with an additional 4% option for oversubscription. The floor price for this divestment is set at ₹31 per share. The bidding process for non-retail investors is scheduled for May 22, 2026, followed by retail participation on May 25, 2026.
Key Details of the Divestment
The President of India, through the Ministry of Finance, is offloading up to 36,20,56,051 equity shares, representing 4% of the bank’s issued and paid-up capital. To accommodate potential high demand, the government has included an oversubscription option for an identical number of shares, effectively allowing a total divestment of up to 8% of the bank’s total equity.
Strategic Bidding Schedule
The divestment process is spread across two distinct trading days to facilitate different investor categories:
- May 22, 2026 (T-Day): Open exclusively for non-retail investors.
- May 25, 2026 (T+1 Day): Open for retail investors and eligible employees, as well as non-retail investors who wish to carry forward unallotted bids.
Pricing and Employee Participation
The floor price for the offer has been established at ₹31 per share. Alongside the general offer, the bank has reserved 7,500,000 equity shares specifically for eligible employees. These employees are entitled to bid for equity shares valued up to ₹500,000. This initiative is part of the government’s broader strategy to meet minimum public shareholding requirements and optimize its investment portfolio in public sector institutions.
Source: BSE
