Indian Overseas Bank Ends Sharply Lower After Govt Launches Ofs For Upto 3% Stake

17-Dec-25   16:26 Hrs IST

Through OFS, Government of India proposes to sell up to 38,51,31,796 equity shares, representing a 2% stake, with an option to sell additional 1% stake or 19,25,65,898 equity shares in case of over subscription.

The floor price of the offer has been set at Rs 34 apiece, a 7.03% discount to the stock's closing price of Rs 36.57 recorded on Wednesday, 16 December 2025.

The Government of India held 94.61% stake in Indian Overseas Bank as of 30 September 2025.

A minimum of 25% of the offer has been reserved for mutual funds and insurance companies, while 10% has been reserved for retail investors.

The OFS opened on 17 December 2025, which is the T-day where only non-retail investors can bid for the shares. On 18 December 2025, which is T+1 day, the OFS will be accessible for retail investors, employees, and for non-retail investors those who choose to carry forward their un-allotted bids from T-day.

On Day 1 (T-day), as of 15:30 IST, the OFS received subscription for 39,95,07,082 shares. It was subscribed 115.25% on the base of non-retail offer size of 34,66,18,616 shares.

Indian Overseas Bank is engaged in the business of banking & financial services.

The bank had reported 57.80% rise in net profit to Rs 1,226.42 crore on 8.60% increase in total income to Rs 9,214.24 crore in Q2 FY26 over Q2 FY25.

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