Mon. Oct 21st, 2019

IDBI Bank invites application for two deputy MDs


MUMBAI: Life Insurance Corporation (LIC)- owned IDBI BankNSE 0.90 % has invited application for two deputy managing directors.

LIC had completed acquisition of 51 percent stake in IDBI Bank in January.

Currently, there are two DMDs at the bank – KP Nair and GM Yadwadkar who are due for retirement soon. The new DMDs will be appointed for three years, which will be extendable by two more years or up to 60 years, the bank said in an advertisement.

Last August, the Cabinet approved the acquisition of controlling stake by LIC as a promoter in the bank through a combination of preferential allotment and open offer of equity.

LIC was looking to enter the banking space by acquiring a majority stake in IDBI Bank, as the deal is expected to provide business synergies despite the lender’s stressed balance sheet.

With the acquisition of controlling stake by LIC, IDBI Bank will now become private sector lender.

The number of public sector lenders has come down to 20 with the government transferring its majority stake in favour of LIC.