The government is likely to offload close to a 5% stake in Bank of Maharashtra, with the transaction expected to take place at more than a 5% discount to the current market price, according to sources quoted by CNBC-TV18.
The potential stake sale is aimed at helping the public sector lender meet the 25% minimum public shareholding norm, which listed companies are required to comply with under SEBI regulations.
Govt holding at 79.60% as of September 2025
As of September 2025, the government held a 79.60% stake in Bank of Maharashtra. Reducing this to meet regulatory thresholds has been a long-standing requirement, and the upcoming stake sale is expected to move the bank closer to compliance.
Market reaction and next steps
Market sources also indicated that the planned offer for sale (OFS) may be executed soon, though final timelines are yet to be confirmed. CNBC-TV18 reported that the channel has written to Bank of Maharashtra seeking an official response, and that a reply is currently awaited.
If executed, the transaction will be part of the government’s broader divestment strategy and ongoing efforts to deepen public participation in PSU banks.
