The stock ended Tuesday at ₹81.22 on the NSE after touching an intraday low of ₹79.05. More than 6.9 crore shares were traded, with turnover of around ₹571.93 crore. The decline came as Bank Nifty also weakened, finishing at its lowest point since July.

The government and LIC plan to offload a combined 60.72% holding in IDBI Bank, but the transaction has faced prolonged delays. Earlier bids were turned down for falling short of the government's minimum price. Canada's Fairfax Holdings is reportedly interested, though no final outcome has been announced.

WealthMills Securities' Kranthi Bathini linked the selling to investors losing patience with the unresolved sale. The shares remain highly responsive to developments around the transaction, with the continuing uncertainty weighing on sentiment.

Former government secretary EAS Sarma has written to the Finance Minister flagging possible takeover-rule complications. His concerns include whether the buyer would need to make an open offer to public shareholders, along with foreign ownership restrictions and employee interests. Fairfax's holding in CSB Bank presents another regulatory question, since rules generally restrict significant ownership in two banks by one group.