Mumbai : IDBI Bank on Wednesday said it has received approval to bring down the government stake to below 50 per cent and get acquired by insurance behemoth LIC.

Earlier this month, the Union Cabinet had approved Life Insurance Corp’s proposed acquisition of up to 51 per cent stake in debt-ridden IDBI Bank.

The bank said that the government has conveyed its “no objection” to reduction in government’s shareholding to below 50 per cent, relinquishment of management control in IDBI Bank and acquisition of controlling stake in IDBI Bank by LIC as promoter.

Meanwhile, the All-India IDBI Officers Association has called for a nation-wide strike from Thursday and a hunger dharna on Friday in Delhi to protest the move to sell a stake to LIC. “We note with extreme concern…the move to sell a significant (stake) to LIC whereby the shareholding of the Government of India in the bank will fall below 51 per cent.

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