ICICI Bank exits GST Network, sells entire 10% stake to 13 state govts
- ICICI Bank which had 10% stake in GST Network, has sold its entire 10% stake to 13 state Governments. The stake sale is for aggregate cash consideration of Rs 1 crore.
- The bank will transfer 0.14 per cent stake to the Assam government and 0.81 per cent stake to the Telangana government. Besides, it will transfer Goa, Kerala, Manipur, Tripura, West Bengal, Delhi, Jharkhand, Uttar Pradesh, Chhattisgarh, Madhya Pradesh and Arunachal Pradesh governments 0.82 per cent stake each.
- Presently, Central Government and State Government had a total of 49% stake in GSTN (with 24.5% stake of each) while the remaining 51% was divided between 5 private firms with, HDFC, HDFC Bank, ICICI Bank and NSE Strategic Investment Co hold 10% each and LIC Housing Finance Ltd holding 11%.
- Last year, government had announced to make GSTN a public sector with the Centre holding 50 per cent stake in the GST Network and the remainder will be held by the states on a pro-rata basis in the new structure.
Points to remember:
- Which bank has divested its stake in GSTN?
- ICICI Bank divested how much stake from GSTN?
- Which private firm has highest stake in GSTN?
- How much stake will central govt have after GSTN is made a public sector unit?