ICICI okays stock amalgamation of Sangli Bank

Mumbai, Dec 9: The Board of Directors of ICICI Bank Ltd and the Board of Directors of the Sangli Bank Ltd at their respectively meeting held today, have approved an all stock amalgamation of Sangli Bank with ICICI Bank.

The amalgamation is subject to the approval of the sharesholders of ICICI Bank and Sangli Bank, Reserve Bank of India and such other approvals as may be required.

Deloitte Haskins&Sells, Chartered Accountants, the independent valuers appointed jointly by ICICI Bank and Sangli Bank, have recommended a share exchange ratio of 100 shares of ICICI Bank for 925 shares of Sangli Bank. The proposed amalgamation would result in issurance of approximately additional 3.45 million shares of ICICI Bank, equivalent to about 0.4 per cent of its existing issued equity share capital, the release said.

The proposed amalgamation is expected to be beneficieel to the shareholders of both entities. ICICI Bank will seek to leverage Sangli Bank's network of over 190 branches and existing customer and employee base across urban and rural centres in the rollout of its rural and small enterprise banking operations, which are key focus areas for the Bank.

The amalgamation would supplement ICICI Bank's urban distribution network and enable the shareholders of Sangli Bank to participate in the growth of ICICI Bank's strong domestic and international franchise. The amalgamation will provide new opportunities to Sangli Bank's employees and give its customers access to ICICI Bank's multi-channel network and wide range of of products and services, the release said.

UNI