New Delhi, 22 May (H.S.): The offer for sale (OFS) of the Centre’s four percent stake in the public sector Central Bank of India opened on Friday for institutional investors at a price of Rs 31 per share. Retail investors will be able to place bids for the share sale on Monday.

The minimum price of Rs 31 per share is 8.58 percent lower than the bank’s closing price of Rs 33.91 on the Bombay Stock Exchange (BSE) on Thursday. The bank’s shares were trading at Rs 32.06 on the BSE today, which is 5.46 percent lower than the previous day’s closing price.

According to the Securities and Exchange Board of India (SEBI), the OFS of Central Bank of India also includes a green-shoe option to sell an additional four percent stake. By selling eight percent stake in the public sector bank, the Centre will receive Rs 2,456 crore.

The OFS will help the government move toward meeting SEBI’s minimum public shareholding norm. As per SEBI rules, all listed companies must have at least 25 percent public shareholding.

The government currently holds 89.27 percent stake in Central Bank of India. If the government exercises the green-shoe option, its stake in the bank will come down to 81.27 percent.

It is noteworthy that the government has already raised Rs 2,624 crore through an OFS in Bank of Maharashtra and Rs 1,419 crore in Indian Overseas Bank in the financial year 2025-26.

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Hindusthan Samachar / Jun Sarkar