Punjab National Bank (PNB) is looking to offload stake in its subsidiary PNB Housing Finance (PNBHF) to over 30 percent as the latter goes for an initial public offer (IPO) of equity later this year. At present, the country’s second largest lender holds 51 percent stake in PNBHF.
The finance ministry has been asking banks to offload non-core assets to meet capital requirements. PNBHF, the fifth largest in its segment, had 66 percent growth in net profit during 2015-16 to Rs 326 crore, against Rs 196 crore in 2014-15. Total income grew 52 percent to Rs 2,697 crore.
