IDBI Bank has announced a strategic restructuring of its demat business operations, with the board of directors approving the transfer of this unit to a wholly owned subsidiary. The decision was made during a board meeting held on February 21, 2026, as part of the bank's organizational optimization efforts.

Transfer Details and Structure

The transfer involves the complete ownership and management of IDBI Bank's existing demat business to IDBI Capital Market Services Ltd. (ICMS), a wholly owned subsidiary. The transaction includes the transfer of Depository Participant (DP) operations for both NSDL and CDSL DP IDs.

About the Transferee Entity

IDBI Capital Market & Securities Limited (ICMS) serves as the receiving entity for this business transfer. The subsidiary operates as a SEBI-registered entity with comprehensive financial services capabilities. ICMS provides multiple services including stockbroking, depository participant services, investment advisory, research analysis, institutional broking, and mutual fund distribution. The company already holds SEBI registration as a Depository Participant with both NSDL and CDSL.

Regulatory Compliance and Approvals

The transaction has been structured as a related party transaction, executed at arm's length pricing principles. Prior approval from the Audit Committee of the Board (ACB) has been obtained for the transfer. The bank has confirmed that the transaction does not fall within the scope of Regulation 37A of SEBI LODR Regulations, as it does not qualify as a slump sale or require compliance with scheme of arrangement provisions.

Financial Impact Assessment

The demat business unit being transferred contributes minimally to IDBI Bank's overall financial performance. With a contribution of less than 0.032% of the bank's total income during the last financial year, the transfer is classified as non-material to the bank's operations. The consideration of INR 5.50 crores will be received over a one-year period following the completion of the transfer transaction.

Implementation Timeline

The bank expects to complete the transfer by April 2026, pending receipt of all necessary regulatory approvals. The agreement and Memorandum of Undertaking for the transaction are yet to be executed, with documentation expected to be finalized in the coming period. This timeline allows for proper regulatory compliance and smooth transition of operations to the subsidiary.

IDBI Bank has officially notified stock exchanges about receiving a strike notice from major banking unions scheduled for February 12, 2026. The communication, dated February 10, 2026, was sent to both BSE Ltd. and National Stock Exchange of India Ltd. in compliance with regulatory requirements.

Strike Notice Details

The bank received the strike notice from three prominent banking unions working in coordination to press their demands:

These unions represent a significant portion of the banking workforce across India and have collectively called for the strike action on February 12, 2026.

Regulatory Compliance

IDBI Bank has fulfilled its disclosure obligations by informing the stock exchanges about this development. The notification was made under Regulations 30 and 51 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Company Secretary Jyothi Biju Nair signed the official communication on February 10, 2026.

Potential Impact

The coordinated strike action by multiple banking unions could potentially affect IDBI Bank's operations and customer services on the scheduled date. Bank strikes typically impact various banking services including:

• Branch operations and customer service counters
• ATM cash replenishment and maintenance
• Digital banking support services
• Loan processing and administrative functions

The bank's proactive disclosure ensures that stakeholders, including customers and investors, are informed about the potential service disruption well in advance of the strike date.