Bank of Maharashtra OFS Share Sale Details: The government has started the process of selling its 6% stake in Bank of Maharashtra through OFS. The sale at a price of Rs 54 per share is being done to meet the 25% minimum public shareholding norm.

The government’s offer for sale (OFS) in state-owned Bank of Maharashtra (BOM) began for non-retail investors on Tuesday. The government will raise approximately Rs 2,492 crore through this OFS by selling its 6% stake at a floor price of Rs 54 per share. This step has been taken to meet the 25% minimum public shareholding norm.

This minimum price has been set 6.34 percent lower than Monday’s closing price of Rs 57.66 per share on BSE. According to the prospectus of the share sale, this OFS will open for retail investors on Wednesday.

Government will sell 6 percent stake

The government is planning to raise about Rs 2,492 crore by selling its six percent stake in this public sector bank. The base offer comprises 38,45,77,748 shares, which is five per cent of the paid-up share capital of the bank. Additionally, one per cent stake, i.e. 7,69,15,549 shares, is available under the ‘green-shoe’ option. Thus, the total size of the OFS comes to 46.14 crore shares or six per cent stake.

What is its purpose?

At present, the government’s stake in this Pune-based bank is 79.60 percent. The main objective of reducing this stake is to enable the bank to meet the minimum public shareholding (MPS) norm of 25 per cent. Stake reduction will bring the government stake below 75 percent.

As per the Securities and Exchange Board of India (SEBI) Securities Contracts (Regulation) Rules, a minimum of 25 per cent public shareholding is mandatory in all listed entities including public sector companies. However, capital markets regulator SEBI has given relaxation to CPSEs and public sector financial institutions to meet this norm till August 2026.

These banks are also above MPS limit

Apart from Bank of Maharashtra, the government’s stake in four other banks in the country also remains above the minimum public shareholding limit (75%). These banks include:

• Indian Overseas Bank (94.6 percent stake)


• Punjab and Sindh Bank (93.9 percent stake)


• UCO Bank (91 percent stake)


• Central Bank of India (89.3 percent stake)