The Kotak Mahindra and ING Vysya get approbated by the RBI

The much awaited merger deal between Kotak Mahindra and ING-Vysya, on Tuesday, got an approval from the RBI, hence becoming India’s fourth largest private sector lender.

“The scheme of amalgamation (of Kotak Mahindra Bank and ING Vysya Bank) shall come into effect from April 1, 2015,” Kotak Mahindra Bank said in a statement quoting RBI approval.

As a result of the merger, all the tangible and intangible assets have been transferred to Kotak Mahindra Bank.

The merged entity has now 1,214 branches, with a wide-spread pan-India network. ING Vysya had around 10,000 employees, while Kotak Bank has around 29,000.

The Rs 15,000 crore merger deal between Kotak Mahindra and ING Vysya got the Competition Commission’s approval in early February.

“In an order dated February 12, the CCI said that share of both entities in various relevant markets is “insignificant”. In this case, the regulator took into account multiple relevant markets including those for deposits, home loans, agricultural banking and card business,” as mentioned in the Economic Times.

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About Sanika Govekar

An avid reader with a love for English, an achiever; she has a burning desire to succeed. She wants to make a difference to the society and strongly believes that self-discipline and a monumental work ethic can beat natural ability. Aim to Major in Economics.