The Board of Bank of Baroda (BoB) on Wednesday Jan 02,2019 approved fair equity
share exchange ratio for amalgamation of Dena Bank and Vijaya Bank with
the former. Post today's merger, Bank of Baroda will become the third
biggest public sector bank after State Bank of India and ICICI.
The merger will be effective from April 01,2019
. This is the first ever three way merger in Indian banking
As per the Scheme of Amalgamation announced by Bank of Baroda, shareholders of Vijaya Bank would get 402 equity shares of BoB for every 1,000 shares held in the bank.
In case of Dena Bank, the shareholders would get 110 shares of BoB for every 1,000 shares owned in the bank.
The Scheme of Amalgamation would be laid before the Parliament for 30 days for the perusal of the members.
Post this merger, the number of PSU banks will come down to 18
Note
In 2017, SBI merged five of its subsidiary banks with itself and also took over Bharatiya Mahila Bank. This catapulted the state-owned bank into the league of top 50 global lenders.
The merger will be effective from April 01,2019
. This is the first ever three way merger in Indian banking
As per the Scheme of Amalgamation announced by Bank of Baroda, shareholders of Vijaya Bank would get 402 equity shares of BoB for every 1,000 shares held in the bank.
In case of Dena Bank, the shareholders would get 110 shares of BoB for every 1,000 shares owned in the bank.
The Scheme of Amalgamation would be laid before the Parliament for 30 days for the perusal of the members.
Post this merger, the number of PSU banks will come down to 18
Note
In 2017, SBI merged five of its subsidiary banks with itself and also took over Bharatiya Mahila Bank. This catapulted the state-owned bank into the league of top 50 global lenders.
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