The Hindu : Business : 4:9 swap for Centurion Bank merger

Online edition of India's National Newspaper
Thursday, Jun 30, 2005

Business

Business

4:9 swap for Centurion Bank merger

Special Correspondent

The combined new bank will have an asset size of Rs. 9,395 cr

NEW DELHI: Bank of Punjab and Centurion Bank on Wednesday sealed their amalgamation plan with a share-swap ratio of 4:9. The merged entity will henceforth be known as `Centurion Bank of Punjab'.

According to the terms of the share swap deal, four equity shares of Bank of Punjab would fetch an investor nine shares of Centurion Bank.

The combined new bank will have an asset size of Rs. 9,395 crore with total deposits worth Rs. 7,837 crore and a capital adequacy ratio of 16.1 per cent, according to the figures of the two banks as of March this year.

With a net worth of Rs. 696 crore, Centurion Bank of Punjab will be in a position to serve 2.2 million customers. through its wide network of 235 branches and extension counters and 382 ATMs. As for its management, the Chairman of Centurion Bank, Rana Talwar, and its Managing Director, Shailendra Bhandari, will hold their positions in Centurion Bank of Punjab while the Chairman of Bank of Punjab, Tejbir Singh, will be its full-time Executive Director.

Printer friendly page
Send this article to Friends by E-Mail

Business