UWB BoD meet tomorrow to discuss further action on amalgamation

New Delhi, Sep 13 (UNI) United Western Bank (UWB) today said its board will meet tomorrow to take on record the draft scheme of its amalgamation with the Industrial Development Bank of India, (IDBI) and to decide the further course of action.

IDBI also said it has received the draft scheme of amalgamation from the Reserve Bank of India (RBI) and the management is currently examining the scheme.

The company board will meet on September 21 to consider the views and suggestions on the issue, which will then be taken up with the central bank.

The RBI yesterday approved the draft merger of UWB with IDBI, which will pay Rs 150.5 crore to the shareholders of the troubled bank at a rate of Rs 28 per share.

The central bank, which had received 17 bids for the takeover of the Maharashtra-based UWB, has given time till September 27 to the boards of both the banks to clear the amalgamation scheme.

All the assets and liabilities of UWB will be shifted to IDBI which will discharge all payments to the creditors and depositors of the beleagured bank.

UNI CS RA RN1955