The President of India, acting as the promoter of Indian Overseas Bank (IOB), has successfully divested 2.17% of the bank’s equity share capital through an offer for sale (OFS) mechanism. The OFS, which concluded on December 18, 2025, involved the sale of 41,78,38,271 equity shares. Following the transaction, the promoter’s stake in IOB stands at 92.44%, reflecting a strategic move to rebalance holdings.
Promoter Stake Reduction
The President of India, acting through the Department of Financial Services, successfully executed an offer for sale (OFS) of Indian Overseas Bank’s (IOB) shares. The stake sale concluded on December 18, 2025 (T+1 day), following an initial offering to non-retail investors on December 17, 2025 (T day).
Details of the Transaction
Through the OFS, the promoter divested 41,78,38,271 equity shares, representing 2.17% of IOB’s total equity share capital. The shares were sold via a designated window on the BSE and NSE stock exchanges, adhering to established regulatory guidelines for offer for sale transactions. The Offer included a portion of shares earmarked for eligible employees of the Bank.
Post-Sale Ownership
Following the completion of the OFS, the promoter’s holding in Indian Overseas Bank stands at 17,80,04,88,299 shares, equivalent to 92.44% of the total equity share capital. This adjustment reflects a planned reduction in the promoter’s stake while maintaining a significant controlling interest in the bank.
Source: BSE
