Mumbai: The State Bank of India will start the process of selling up to 4 per cent of its stake in joint venture SBI General Insurance Co, which is planning an initial public offering.
The lender’s move follows the green signal to explore and initiate the process of partial stake sale in the insurer to a non-promoter entity from its central board’s executive committee, according to SBI’s exchange filing on Thursday. The divestment method would be small parcel share sale, which does not involve shareholders incurring any cost.
SBI holds 74 per cent stake in SBI General, while the rest of it is held by the joint venture partner Insurance Australia Group.
The stake sale is part of SBI’s strategy to unlock value of its subsidiaries.
