Bank of Maharashtra OFS: Government Offers Opportunity to Buy Shares at Attractive Prices

New Delhi: Investors now have a chance to buy shares of Bank of Maharashtra (BOM) at attractive prices as the government plans to divest up to 6% of its stake in the public sector bank. The Offer for Sale (OFS) opened today, December 2, 2025, for non-retail investors, while retail investors can participate starting tomorrow, December 3.

Details of the Offer
The OFS is being managed under the Department of Investment and Public Asset Management (DIPAM), part of the Finance Ministry. DIPAM Secretary Arunesh Chawla stated, “The OFS in Bank of Maharashtra has opened today for non-retail investors. Retail investors can submit their bids on Wednesday, December 3. The government is offering 5% equity for sale, with an additional 1% available under the green shoe option.”

Share Pricing and Expected Proceeds
As of Monday, the BOM share price was ₹57.70. The government has set the floor price for the OFS at ₹54 per share. Investors can bid at the floor price or higher. Through this divestment, the government aims to raise approximately ₹2,600 crore. Currently, the central government holds a 79.60% stake in the Pune-based bank.

Reason for Divestment
Post-sale, the bank will meet the minimum 25% public shareholding requirement mandated for listed companies. Reducing the government stake below 75% ensures that no single entity exercises excessive control over the bank, thereby promoting wider public participation in equity ownership.

This OFS provides an opportunity for both retail and institutional investors to acquire shares of a prominent PSU bank at a reasonable valuation while contributing to broader market participation.