IDBI Privatization Revival Sparks 12% Surge

IDBI Bank experienced a significant surge of 12% in its share price on Wednesday, accompanied by a substantial increase in trading volumes. This rally is attributed to media reports suggesting the Indian government is exploring avenues to revive the stalled privatization of the bank.

Sources indicate that the government may reconsider bids previously rejected for not meeting the reserve price, including those from Fairfax Financial Holdings and Emirates NBD. IDBI Bank previously stated that the disinvestment process is confidential and it has no role in negotiations.

Concurrently, Yes Bank shares also saw a notable rise, climbing 7% to reach a 52-week high of ₹25.45. This upward movement extends a recent positive trend for the bank's stock, which has appreciated 14% over the past four trading days. Moody's Ratings had recently upgraded Yes Bank's ratings to Ba1, citing improvements in its credit profile.

Yes Bank's asset quality has shown material improvement, with its gross non-performing loan ratio decreasing to 1.3% as of March 2026. This positive development follows Sumitomo Mitsui Banking Corporation's acquisition of a significant stake in Yes Bank in late 2025.