Kotak mahindra Bank to acquire ING Vaisya Bank

Kotak Mahindra Bank has announced that it would acquire Bengalaru-headquartered ING Vysya Bank in an all-stock deal. The deal will be final after regulatory approvals, including those from the Reserve Bank of India (RBI) and Competition Commission of India (CCI). The management of the banks expects that the new merged entity will be operational by April 1, 2015.
The acquisition will help Kotak Mahindra Bank to widen its reach in South Indian market and also help in acquiring SME customers as ING Vysya Bank was having stronghold in SME customers. After merger the combined banking entity will have a widespread network of 1,214 branches across pan India.
The deal will make Kotak the fourth-largest private bank in the country in terms of total business. The biggest three private banks are ICICI Bank, HDFC Bank and Axis Bank.

Month: Current Affairs - November, 2014