• search
For Quick Alerts
ALLOW NOTIFICATIONS  
For Daily Alerts

Cabinet approves merger of Vijaya Bank, Bank of Baroda and Dena Bank

|

New Delhi, Jan 2: The Cabinet Committee of Economic Affairs (CCEA) on Wednesday approved the first-ever three-way merger in Indian Banking with the amalgamation of Vijaya Bank, Dena Bank and Bank of Baroda.

Cabinet approves merger of Vijaya Bank, Bank of Baroda and Dena Bank

This marks the first-ever three-way merger in the country's banking sector, and will create the country's second largest public sector lender.

The government said in a statement that as per the scheme of amalgamation, Bank of Baroda will be the transferee bank while the other two public sector banks will be transferor banks.

Congress claims Rafale Deal files in Parrikar's bedroom, releases audio clip

Key points of the Scheme of amalgamation:

(a) Vijaya Bank and Dena Bank are transferor banks and BoB is transferee bank.

(b) The scheme shall come into force on 1.4.2019.

(c) Upon commencement of the scheme, the undertakings of the transferor banks as a going concern shall be transferred to and shall vest in the transferee bank, including, inter alia, all business, assets, rights, titles, claims, licenses, approvals and other privileges and all property, all bor­rowings, liabilities and obligations.

(d) Every permanent and regular officer or employee of the transferor banks shall become an officer or employee and shall hold his office or service therein in the transferee bank such that the pay and allowance offered to the employees/officers of transferor banks shall not be less favourable as compared to what they would have drawn in the respective transferor bank.

(e)The Board of the transferee bank shall ensure that the interests of all transferring employees and officers of the transferor bank are protected.

(f) The transferee bank shall issue shares to the shareholders of transferor banks as per share exchange ratio. Shareholders of the transferee bank and transferor banks shall be entitled to raise their grievances, if any, in relation to the share exchange ratio, through an expert committee.

lok-sabha-home

For Daily Alerts

For Breaking News from Oneindia
Get instant news updates throughout the day.

Notification Settings X
Time Settings
Done
Clear Notification X
Do you want to clear all the notifications from your inbox?
Settings X
X
We use cookies to ensure that we give you the best experience on our website. This includes cookies from third party social media websites and ad networks. Such third party cookies may track your use on Oneindia sites for better rendering. Our partners use cookies to ensure we show you advertising that is relevant to you. If you continue without changing your settings, we'll assume that you are happy to receive all cookies on Oneindia website. However, you can change your cookie settings at any time. Learn more