Home page 

click here



 

newsletter

insurance

Forum

Conferences

home

book store

BPO

finance

click here


    banking    overview | news | basics | lendings |advanced banking | products | IT in banking  
                                  
articles & policies | banking software| deposits| bank directory| internet banking| bank results| banking & you







'Centurion Bank of Punjab'- M&A road for consolidation

Private Banks are taking to the consolidation route in a big way. Bank of Punjab (BoP) and Centurion Bank (CB) have been merged to form Centurion Bank of Punjab (CBP). RBI has approved merger of Centurion Bank and Bank of Punjab effective from October 1, 2005. The merger is at a swap ratio 9:4 and the combined bank is will be called Centurion Bank of Punjab. The merger of the banks will have a presence of 240 branches and extension counters, 386 ATMs, about 2.2 million customers. As on March 2005, the net worth of the combined entity is Rs 696 crore and the capital adequacy ratio is 16.1 per cent

In the private sector, nearly 30 banks are operating. The top five control nearly 65% of the assets. Most of these private sector banks are profitable and have adequate capital and have the technology edge.

Due to intensifying competition, access to low-cost deposits is critical for growth. Therefore, size and geographical reach become the key for smaller banks. The choice before smaller private banks is to merge and form bigger and viable entities or merge into a big private sector bank.

The proposed merger of Bank of Punjab and Centurion Bank is sure to encourage other private sector banks to go for the M&A road for consolidation.



Highlights of the merger ... Click here
Share holding pattern of Centurion Bank of Punjab ... Click here
Financials of Centurion Bank of Punjab ... Click here
Gains from the merger ... Click here



READ RELATED STORIES:
Global Trust Bank merges with Oriental Bank of Commerce
Commercial Banks in India
Special section on M&A






Google
  Web banknetindia.com   

 

click here

Click Here



 

Events | Tenders | Book Store | About us | Contact us | Disclaimer

ęcopyright   No part of the contents can be reproduced in any manner whatsoever without permission in writing from Banknet India