BNP Paribas Cardif, the foreign partner of SBI Life Insurance, will sell up to 2.5 crore shares, representing 2.5% stake in the insurance company, for at least Rs 1,625 crore through an offer for sale (OFS) mechanism.

The two-day OFS, for which the floor price has been fixed at Rs 650 per share, will open on Tuesday, SBI Life Insurance Company said in a BSE filing Monday.

The floor price is lower than Monday's closing rate of Rs 710.45 per share on the BSE.

BNP Paribas held 7.7 crore shares, representing a 7.7% stake in the insurance company as on March 31.

The State Bank of India holds 62.10% stake in the company. BNP Paribas Cardif has been gradually off-loading its stake in the company.

On March 29, BNP Paribas Cardif had sold 5 crore shares of the insurance company for Rs 2,889 crore.

Earlier in the same month, Carlyle Group had acquired nine% stake in the life insurer from BNP Paribas Cardif.