Thursday, August 18, 2016
The Board of State Bank of India approved a swap ratio for the merger of its three listed associates and the Bharatiya Mahila Bank.
With this deal, allotting 28 shares of SBI (Rs.1 each) for every 10 shares of SBBJ (Rs.10 each) and 22 shares of SBI for every 10 shares held in the State Bank of Mysore and State Bank of Travancore. The Bharatiya Mahila bank, which is also unlisted entity but owned by Government, SBI fixed the swap ratio at 4.42 crore shares of SBI for every 100 crore share of Bharatiya Mahila Bank.
SBI Chairperson Arundhati Bhattacharya said that the merger process will be completed by the end of the financial year. SBI will aspire to be in the top 50 Global banks after its merger which will have a business of around Rs.40 lakh.