Public lender Bank of Baroda’s board is planning to sit for a meeting on September to take the final decision on the proposed merger by the Central Government.
In a bid to revive the credit and economic growth and create country’s third-largest lender the government earlier this month announced plans to merge Bank of Baroda, Vijaya Bank and Dena Bank.
The meeting of Board of Directors is planned on September 29 to approve the merger process, said PS Jayakumar, Managing Director & CEO, Bank of Baroda on the sidelines of the annual meeting for top executives of Public Sector Banks called by Union Finance Minister Arun Jaitley.
“As of now, at the point of the merger we are well-capitalised to continue the momentum,” he said.
The amalgamation process would take nearly 4-6 month and April 1, 2019, could be the possible timeline for completion of the merger, he added.
Dena Bank’s board has already given their nod to the merger proposal. Source suggests that Board of Vijaya Bank too would be meeting soon to decide on the proposal.
Jayakumar further said that post-merger of the three banks, there will form India’s third largest, however, the multiple brands can remain. There can be the possibility of relocation of some branches post the amalgamation.