Canara Bank has obtained approval from the Reserve Bank of India (RBI) to proceed with initial public offerings (IPOs) for its subsidiaries, Canara Robeco Asset Management Company and Canara HSBC Life Insurance Company.

The bank intends to sell a 13 percent stake in Canara Robeco AMC and a 14.5 percent stake in Canara HSBC Life Insurance.

Canara Bank is required by the RBI to reduce its stake in these entities to 30 percent by October 31, 2029, following an exemption granted by the Government of India.

This move is strategic as Canara Bank's share price has increased by approximately 24 percent in the past year, resulting in a market capitalization of over Rs 98,000 crore.