ING Vysya Bank & Kotak Mahindra Bank going to merge on April 1, 2015

Highlights:  

  • The Private Financial giant KotakMahindra Bank  invites INGVysya Bank  to merge and become one of the largest private bank in India.
  • Now the Employees and officers of INGVysya Bank today expressed concerns over their future post the merger with KotakMahindra Bank.
  • It will come into effect from April 1, 2015.
  • More than 4,000 employees and officers of ING Vysya Bank would be absorbed into the rolls of the merged entity.
  • The deal will make Kotak the fourth-largest private bank in the country in terms of total business. The biggest three are ICICI Bank ,HDFC Bank and Axis Bank, in that order.
  • The combined banking entity will have a widespread network of 1,214 branches across the country.
  • The Rs 15,000-crore deal was announced in November 2014 and would create the fourth largest bank in the country with a total staff size of nearly 40,000.
  • The shareholders of the two banks are scheduled to meet on January 7 for their respective EGMs to approve the deal.
  • The merger process entails as per the Banking Regulation Act, approval of the shareholders and thereafter approval from the Reserve Bank of India (RBI) in addition to Competition Commission of India's (CCI) approval
  • At present the Kotak group chief  is Uday Kotak.