On 18th May, ICICI Bank approved its amalgamation with the Bank of Rajasthan through a portion barter ( 25 portions of ICICI Bank for 118 portions for Bank of Rajasthan ) for approximately Rs. 3015 Crore. In the term paper we have done survey of the events taking to amalgamation of the Bankss and tried to come-up with our ain independent ratings for the Bank of Rajasthan utilizing different rating techniques. The Bank of Rajasthan seemed to hold violated multiple RBI ordinances which led to RBI enforcing a mulct of Rs 25 hundred thousand and the subsequent declaration of SEBI that the booster retention was 55.1 % , had led to the amalgamation of Bank of Rajasthan and ICICI bank. The squad foremost arrived at multiple ratings for Bank of Rajasthan to compare with the value paid for by ICICI Bank. Reformulated balance sheet and income statements were used to work out the rating from Standard Forecasting method 2 and Standard Forecasting method 3. Even with optimistic SF3 estimation, ICICI Bank overpaid for the amalgamation by a factor of 1.5.
ICICI rationalised the amalgamation that it helps them spread out their subdivision web. Therefore, rating made would hold been justified if the cost of similar enlargement undertaking would hold been comparable. The rating by the subdivisions attack besides values Bank of Rajasthan at approx. Rs. 1900 Crore, good below the sum paid for. Valuation utilizing monetary value to book ratio of the comparable Bankss resulted in Rs 1573 Crore which is half the sum paid by the ICICI bank. Thus our analysis utilizing different rating methods shows that the trade was favorable to the stockholders of Bank of Rajasthan.
Next the squad besides estimated the impact of the amalgamation proclamation on the market values and concluded that the combined market capitalisation of the two entities was 3 % lower than what was estimated for this point in clip if the amalgamation proclamation was non made. Additionally we went into inside informations of possible benefits ICICI bank can hold by this amalgamation and how they are continuing with apparently hard undertaking of incorporating really different work force.
On 18th May, ICICI Bank approved its amalgamation with the Bank of Rajasthan through a portion barter ( 25 portions of ICICI Bank for 118 portions for Bank of Rajasthan ) for approximately Rs. 3015 Crore. In this term paper we have done a survey of the amalgamation of the two Bankss. Bank of Rajasthan prior to amalgamation was holding problems in run intoing RBI guidelines. SEBI had questioned the booster ‘s claim of merely 28 % shareholding which harmonizing to SEBI was more than 55 % through forepart companies and related retentions. In this survey we do an analysis of assorted regulative breaches by the Bank of Rajasthan. This helps us understand importance of assorted ordinances by RBI and SEBI which are of import for a bank ‘s operation. In the 2nd portion, we have come-up with our ain rating of the Bank of Rajasthan utilizing assorted methods. We have tried to explicate difference in our rating and the value paid by ICICI bank. We have explored how the amalgamation is determining up and how the apparently hard undertaking of integrating of really different work force is go oning.
The survey has helped us understand the ordinances, operations, rating and amalgamation of private Bankss in India.
The Industrial Credit and Investment Corporation of India ( ICICI ) was incorporated in India as a development fiscal establishment in the twelvemonth 1955. ICICI bank came into being merely in the twelvemonth 1994. However in 2002, ICICI bank was rearward merged into its parent entity ICICI along with ICICI Personal Financial Services Limited and ICICI Capital Services Limited. Today, ICICI bank provides full gamut of banking and fiscal services to both retail and corporate clients and is the largest private sector bank in the state in footings of market capitalisation.
ICICI bank has backed its trade name with an efficient work force with one of the best and flexible technological system in topographic point. Its scheme has been to distinguish from other Bankss particularly public sector Bankss in footings of velocity and quality of service in order to increase its portfolio of assets. The bank has impressive basicss in footings of profitableness, CASA ratio, non-performing assets and capital adequateness. These are listed in the Table 1 below for the one-fourth stoping June 30, 2010.
Table: Fiscal Performance of ICICI Bank Limited[ I ]
Rs. Crores ( as on June 30, 2010 )
Rs. Crores ( as on June 30, 2009 )
Rs. 1026 crores
During the same period, net acting plus ratio decreased from 2.19 % to 1.62 % . Strong capital adequateness ratio of 20.2 % and Tier-1 capital adequateness of 14.0 % are besides brooding of bank ‘s strong liquidness place.
Bank of Rajasthan
Bank of Rajasthan is an old private sector bank headquartered in Jaipur. Founded in 1943, the bank has a client base of over 2 million. BoR has a web of 463 subdivisions, 29 offsite ATMs and 82 onsite ATMs covering 22 provinces and 2 Union districts across the state. Most of BoR subdivisions are located in northern and western India and the bank has a strong clasp in the province of Rajasthan with a web of 294 subdivisions ( ~63 % of entire subdivisions ) . Bank has focused on increasing its incursion to Tier II metropoliss particularly centres of high economic activity such as countries with high concentration of SMEs where they act as bankers to both the labours every bit good as the proprietors.
BoR has an plus base of Rs172.2bn with a loan book size of Rs77.8bn. Retail loans constitute about 10.8 % of the entire loan book. The bank had delivered net net income of Rs1.18 billion in FY09 and booked a loss of Rs. 100 million for 9mFY10. The bank has entire sedimentations base of Rs151.9 billion with a CASA ratio of 27.4 % .
Prior to amalgamation, ICICI Bank has been concentrating its attending on positioning its balance sheet for growing and concentrating on the 4Cs: CASA, Costss, Credit, Quality and Capital. The overall purpose has been to- Defend market leading through consolidation, Improve presence in Northern India to go a truly pan-Indian bank, Improve top-line through increased client acquisition, Reduce non-performing assets from the current degrees of 5.06 % , and Improve Asset-Liability Management. Besides, ICICI Bank followed a scheme of ‘Product-focus ‘ prior to amalgamation. In footings of composing of progresss, ICICI was focused on retail finance, services, crude oil, substructure, Fe & A ; steel.
Unlike ICICI Bank, that had a balanced mix of internal and external concern focal point, BoR mostly focused on its internal problems in the twelvemonth prior to amalgamation and had schemes aligned to the same every bit good. The scheme of BoR has been to- improve Corporate Governance, Cut down the high recognition costs and employee costs to better the bottom line, Better the CAR to regulative minimal, and Improve subdivision presence. In footings of composing of progresss, BoR had a strong focal point on substructure and metals & A ; excavation. BoR besides had a strong presence in SMEs by virtuousness of the location advantage of its subdivisions and strong link-up with RRBs, particularly in the sectors of fabrics, pharmaceuticals and chemical, and gems & A ; jewelry.
Cardinal misdemeanors by Bank of Rajasthan
RBI ‘s waies issued under Section 35A of the Banking Regulation Act, 1949
During the period 2002-2004, Bank of Rajasthan acquired belongingss in Mumbai through close relations of the booster Mr. P K Tayal. As per RBI guideline[ two ]parity VI, landlords of the belongings who lease/rent their belongings to the Bankss can take loans above 2 hundred thousand from the bank at a minimum involvement rate. Since the dealing between BoR and the proprietors of the belongingss was non an arm ‘s length dealing the donees were the members of booster ‘s household and therefore non allowed by RBI. On the same lines the Deputy Managing Director of BoR Mr. Saruparia leased a edifice from a building company that was owned by the booster Mr. P K Tayal. The belongings at Lower Parel presently houses the central offices of BoR. These minutess were against the guidelines of RBI and were flagged by other bureaus as good. It was merely in February 2010, RBI decided to enforce a all right and suggest farther question on BoR
Omission of records in the bank ‘s IT systems
Key records associating to financess transferred to other companies were deleted from the IT records of BoR allegedly at the behest of the top direction. This money was non portion of the booster ‘s equity but taken from the nest eggs sedimentations of the clients. As per RBI norms, a bank can non reassign financess to companies related to the booster unless disclosed and approved by RBI and the board.
Non-adherence to KYC/anti money laundering guidelines
BoR transferred public financess to a few corporate groups who were in fact owned by Mr. Tayal. The financess transferred or loaned were in bend transferred to 3rd parties once more owned by MrTayal, which in bend purchased the stocks of BoR and gave their vote rights to Mr. Tayal. No due diligence was done to look into the background of the corporate which were borrowing from the bank. Neither there was any collateral to vouch the loans extended. This favoritism was peculiarly for the group of companies owned by Mr. Tayal.
Failure to supply certain paperss sought by the Reserve Bank of India and beliing that such paperss were non available
Harmonizing to RBI ‘s imperativeness release on Feb 25 2010, the Bank of Rajasthan did non supply certain paperss that were needed by Reserve Bank of India. Besides, the imperativeness release noted that Bank of Rajasthan faithlessly claimed that such paperss were non available.
Tayal ‘s failure to lodge Rs. 20 crore in an escrow history to derive the booster position
In order to derive booster position Mr Tayal was required depositing at least Rs 20 crore in an Escrow Account ( particular security sedimentation to be used merely with RBI blessing ) . While making this, he had to unwrap the beginning of the financess. The RBI besides stipulated that the Escrow Account could be withdrawn merely with its blessing in composing. The other status laid down by the RBI was as follows: “ The portions of the Tayal household and his associates/ group concerns in your Bank ( BOR – bing and proposed acquisition ) should non be alienated for a period of five twelvemonth without the blessing of RBI to guarantee continued committedness of this group in bettering the bank. “ Tayal, consequently should hold kept the RBI informed sing the conformity with the above demands. But Tayal ignored the RBI strictures sing the sedimentation of Rs 20 crore in BOR. Surprisingly ; the RBI did non demo any involvement in happening out the beginning of the Rs 20 crore. The beginning of financess was Krishna Texport Industries Ltd, a Tayal-owned company. This is a blazing misdemeanor of the RBI norms. Further, the Escrow Account of Rs 20 crores was utilised for issue of benami portions in rights issue of the bank. But the Tayal groups of companies say that they have fulfilled all the RBI conditionality. “ As per pre status of RBI, boosters put in Rs 20 croere in the Escrow history so that any deficit in the Rights issue can be taken attention of and the involvement was paid with the anterior permission of RBI. ”
Misdemeanor of booster keeping guidelines
Harmonizing to Reserve Bank of India guidelines, to guarantee distributed ownership no booster should hold more than 10 % of interest in any private bank. Bank of Rajasthan ‘s booster P K Tayal had close to 28 % shareholding before amalgamation on December 2009. However, as per SEBI, the booster had tried to conceal their shareholding by demoing merely 28 % on paper but it had 55 % interest through front entities and companies held by the Tayal Group. SEBI so banned any trading by 100 houses owned by the Tayal group until this got resolved.
After SEBI ‘s declaration about booster ‘s retention, Bank of Rajasthan fell into problem. RBI systematically followed with BoR to cut down their portion to 10 % . Bank of Rajasthan in bend was inquiring P K Tayal to state in composing how he intended to travel about cut downing his interest. Then RBI appointed Deloitte Haskins and Sells to scrutinize BoR ‘s loaning policy and Deloitte Touche Tohmatsu was hired to scrutinize the information security system.
If it is proved that there are major abnormalities in a bank, RBI has powers to alter the direction and boosters or in some instances it can let coup d’etat by another Bankss.
This seems to hold happened in this instance.
Blessings for the Deal
In February 2010 RBI levied a punishment of Rs. 25 hundred thousand on BoR for the misdemeanors in acquisition of immoveable belongings and anti money washing guidelines, omission of bank records from systems and accounting abnormalities. In the subsequent month, SEBI restrained the Tayal group, who owned a declared interest of 28.6 % and 55.01 % in existent, from affecting in capital markets. RBI appointed Deloitte Haskins and Sells as a particular hearer for histories review. These fusss had to be cleared to enable ICICI to come in into the merger trade[ three ].
The trade had to unclutter a new regulative hurdle because of the contentions sing ICICI being considered to be a foreign owned private bank instead than an India Private sector bank. The FII shareholding in ICICI as on 31 March, 2010 was 65.30 % . So, Cardinal authorities asked ICICI to acquire an blessing from Foreign Investment Promotion Board ( FIPB ) to finish the trade. Besides, a minority of stockholders filed a instance against the trade in Calcutta High Court ; but the tribunal dismissed the request. ICICI and BoR moved RBI on June 25, 2010 for the concluding regulative clearance.
ICICI bank approved meeting of Bank of Rajasthan ( BoR ) with itself on 18 May 2010. The portion barter ratio was announced at 25:118 ( 25 portions of ICICI Bank for 118 portions of BoR ) . The Reserve Bank of India on 13th August 2010 gave its nod to the amalgamation. Following the sanctioning of the strategy of merger of Bank of Rajasthan with ICICI Bank, all subdivisions of BoR started working as subdivisions of ICICI Bank with consequence from August13[ four ].
The merger of Bank of Rajasthan by ICICI was a no-cash trade. The trade was valued at Rs.3041 crores. Each portion of BoR was valued at Rs.189/- giving a premium of around Rs.90 per portion. On monetary value per subdivision footing, ICICI paid Rs.65.7 million per subdivision as compared to Rs.238.7 million paid by HDFC for Centurion bank[ V ].
Table 2: Value of trade[ six ]
Outstanding portions ( crore )
Monetary value before proclamation
Deal Value ( crore )
The trade was done through stock barter. Initially it was supposed to be 1:3, but subsequently the barter ratio was fixed at 25:118 as mentioned in Table 1 ; means 25 portions of ICICI for 118 portions of BoR. The barter ratio was about 90 % premium over the market pricing of BoR. Since the trade was a no-cash one, ICICI merely had to thin its 3 % equity for this trade. The net worth of BoR at the clip of amalgamation was estimated at around Rs 760 crore and that of ICICI Bank Rs 5,17,000 crore. Besides, in the one-fourth stoping Dec 2009, BoR reported a loss of Rs 44 crore on an income of Rs 373 crore. So, ICICI had to take in these losingss excessively[ seven ].
Residual gaining Method ( with and without growing )
Cost of capital computation
The Beta for the bank is taken from capital line. Having taken Rf and Rm, we have come-up with WACC rate. The computation has been shown in the tabular array 3 below. The WACC rate therefore calculated has been used for Standard Forecasting ( SF ) method 2 and Standard Forecasting ( SF ) method 3 ratings. The debt, equity and required rates have been taken from the Bank of Rajasthan balance sheet.
Table 3: Calculation of WACC for Bank of Rajasthan
WACC Calculation for Bank of Rajasthan
Required rate of return
Unsecured non-convertible redeemable sub-ordinated with different adulthood
A Bond Series III Option I redeemable at par 0n 15-11-2011
A Bond Series III Option II redeemable at par 0n 15-7-2014
A Bond Series IV Option I redeemable at par 0n 28-4-2015
A Bond Series V redeemable at par 0n 15-1-2017
A Tier II bonds redeemable at par 22-9-2021
A Tier II bonds series VI redeemable at par 5-1-2019
Tier II Bonds series VII redeemable at par on 8-4-2016A
Leaden cost of capital
Evaluation utilizing SF2 Method
The rating of Bank of Rajasthan utilizing the SF2 method is shown below. The value calculated is at the start of 2009. This should non alter at the proclamation day of the month either because growing in Retained Net incomes is assumed to be zero. The rating therefore is Rs 1655.34 Cr, which is good below the sum paid by ICICI bank.
Table 4: Evaluation of BOR utilizing SF2 Method
Change in NOA
Cost of equity
Discount Rate 7.585 %
Evaluation utilizing SF3
For SF3 we have assumed the rate of growing as sedimentation growing rate ( 4.66 % ) in the last twelvemonth. The rating of the Bank of Rajasthan comes out to be Rs 2356.266 Cr, which is besides lower than the monetary value paid by ICICI bank. Therefore even with the optimistic growing rate of 4.66 % rate for sempiternity the rating is lower than the sum paid by ICICI.
Table 5: Evaluation of Bank of Rajasthan utilizing SF3 method
Value based on comparable P/B
The following table gives P/B ratio of some private Bankss which can be compared with the BOR ( We have excluded high profile private Bankss like HDFC, ICICI, Axis Bank etc )
Table 6: Value of Deal-A Comparables attack
Dhanalakshmi Bank Ltd
Karur Vysya Bank Ltd
City Union Bank Ltd
ING Vysya Bank Ltd
Development Credit Bank Ltd
United Western Bank Ltd
Jammu and Kashmir Bank Ltd
South Indian Bank Ltd
Federal Bank Ltd
Karnataka Bank Ltd
Lakshmi Vilas Bank Ltd
The mean monetary value to book ratio comes to be about 1.5. Using this ratio and calculated book value of 1048.8 crore we have value of BOR = 1.5 x 1048.8 = 1573 crore. The trade value of more than 3000 crore is rather expensive in this respect which values BOR at about twice the current value.
Evaluation by Branch method
The whole thought of acquisition was to increase the range and subdivisions of ICICI. ICICI even used Market cap per subdivision ( MCAP/branch ) as one of the parametric quantity for their rating. Other option for them would hold been to spread out organically i.e. construct their ain subdivisions and operate. Therefore, the rating of Bank of Rajasthan should non be more than value of the undertaking which ICICI would hold undertaken to construct 463 subdivisions. Therefore the whole rating job simplifies to project rating of constructing 463 subdivisions.
An mean bank subdivision building is a 2 twelvemonth undertaking affecting 4 crore[ 1 ]of capital investing upfront. This Construction is considered at hazard free rate as there is no hazard of gross involved in building. Further Bank of Rajasthan has sedimentations of 15187 crore and CDR of 74.20 %[ 2 ]. CDR is recognition sedimentation ratio which indicates how much recognition bank has been able to do out of the sedimentation. Higher the CDR for bank, better it is. The spread which bank of Rajasthan bank has been able to do on the loans is 3.5 % . The staying 25.80 % of sedimentations can be kept with RBI through contrary repo window at 4.5 % .Since the cost of sedimentations is about 6.55 % , so this 25.8 % will hold negative spread of 2.05 % . Thus the entire income from the same sedimentation which bank of Rajasthan has presently will be 0.678 crore.Capitalising it and happening the value of each subdivision, we get the rating per subdivision as 4.12 crore and value of entire trade as 1911 crores.
Table 7: Evaluation utilizing the Brand attack
Factor ( 1.0722 ) ^t
Entire Present Value
Present Value Of CV
Value per Branch
Value of 463 subdivisions
The Continuing Value Calculation
Table below indicates the computation of income per subdivision with same sort of sedimentation as Rajasthan.
Table 8: Income per subdivision
CALCUATION OF INCOME PER BRANCH
Entire sedimentations ( in crores )
spread on money they can impart
Spread on money they ca n’t impart
Money which they can impart
( 15187*CDR )
Money which they ca n’t impart
( 15187* ( 1-CDR ) )
Number of subdivisions
Income on money they can impart
Income on money they ca n’t impart
Income on money they can impart = = 0.85185
Income on money they ca n’t impart == ( -0.173486 )
Entire Income =0.85185+ ( -0.173486 ) = 0.678364
Therefore even if they would hold gone organic growing and built all the subdivisions, it would hold cost them 1911 crore which is manner below the rating that they paid to get bank of Rajasthan. Thus the trade is decidedly overpriced and would hold resulted in value devastation for ICICI stockholders.
Merger benefits for ICICI
ICICI bank expanded its web of subdivisions through acquisition. Addition of 463 subdivisions increased the figure of Bankss by 25 % . ICICI bank ‘s place in North and West India is strengthened.[ eight ]
ICICI Bank would beef up its rural selling thrust through 98 subdivisions of BoR which are in rural country.[ nine ]
Addition in sedimentations: sedimentations of ICICI bank increased due to merger of BoR. It could hold taken 3 to 4 old ages to increase the sedimentations to this degree. This saved clip and cost of ICICI bank besides gave them advantage in footings of clip to market.
New clients: ICICI bank got new clients through BoR ‘s client base which is close to 3 million. This would better gross of ICICI bank.
Improvement in services of BoR: ICICI Bankss cyberspace and telephone banking services are being implemented for BoR and expected to finish by 3rd one-fourth of 2011.
Cross merchandising: ICICI bank can make traverse merchandising of merchandises and services to client base of BoR. This would be new beginning of gross for ICICI bank.
Efficiency betterment: ICICI bank can better the efficiency of BoR subdivisions therefore better profitableness.
Post Merger Analysis
Estimate of impact of amalgamation proclamation of market capitalisation
The 90-day return on stock for ICICI Bank and Bank of Rajasthan was calculated for the 6 month period from November-2009 to May-2010. These returns were regressed against the corresponding 90-day returns on the BSE-Sensex. The consequence of this arrested development was used to gauge the market capitalisation ( from stock monetary value ) of both ICICI bank and Bank of Rajasthan on the twenty-four hours of the proclamation and 90 yearss after the proclamation.
Based on the computation, the combined expected market of ICICI bank and Bank of Rajasthan was found to transcend the existent market capitalisation, albeit by a mere factor of 3 % . This is good within the border of mistake ( of computation ) , and therefore we can reason that, while there was no dramatic creative activity of value ( as estimated by market ) , there was no important value-erosion either.
Evaluation of public presentation
Consequences of 3rd one-fourth for ICICI bank include the BoR. But it had been merged in ICICI bank merely for 49 yearss so any fiscal consequences are non conclusive of any public presentation betterment.
ICICI bank got web of subdivisions and new clients in its portfolio. Based on this it achieved its subdivision based and client focused growing through this acquisition. The addition in sedimentation base of ICICI bank has given immense time-to-market advantage of anywhere between three to four old ages[ x ].
All the BoR subdivisions are connected through cyberspace. Internet banking installation is to be made available to all BoR clients by the terminal of 3rd one-fourth of 2011. Anywhere banking enabled and ATM connectivity established for all BoR clients[ xi ]. This would better the quality of service for BoR clients.
The chief consequence of this merger is the geographical enlargement in ICICI subdivision web in the north-western part of the state, by merely thining 3 % of its equity interest. To get down new subdivisions would hold been tough for ICICI and for BoR it was a opportunity to unify itself with India ‘s biggest private sector bank. So, from ICICI ‘s point to position, it ‘s an expansive scheme and for BoR it consequences in bettering operations and service quality. So, this amalgamation has been fruitful to both the acquirer and the mark.
The concluding blessing for the merger of BoR by ICICI happened on August 12, 2010[ xii ]. The integrating procedure started after this day of the month. The chief portion of the merger was the integrating of IT systems and the employees. ICICI agreed to implement the systems the bank uses in already bing subdivisions to the BoR subdivisions so as to widen the similar services to the clients. The IT and the ATMs connectivity are established as of now[ xiii ]. Deposit mobilisation from retail clients and progresss processing is presently being done, while keeping continuity in merchandises and charges.
The chief apprehensivenesss were about taking the BoR employees as portion of ICICI. But, around 4000 employees of BoR were ready to fall in the ICICI, although they raised some concerns when the trade was ab initio announced in May 2010. Besides, the mean age of employees at BoR was about 53, whereas in ICICI it was really much lower. So, the BoR employees were besides discerning about their hereafter amidst the amalgamation. But as per the merger understanding, ICICI promised to absorb all the BoR employees, although the persons had the option to go forth, if they wanted to go forth. But this integrating is besides swimmingly done and these employees are now officially ICICI bank employees.
Update on what happened & A ; go oning
Although United Forum of Bank of Rajasthan Unions had opposed the amalgamation of Bank of Rajasthan ( BoR ) with ICICI Bank, mentioning cultural compatibility issues before the executing of the amalgamation the employee migration after amalgamation was really smooth. Four yearss after the RBI blessing for the amalgamation around 4000 employees ( out of 4200 ) has shown involvement in fall ining the new company. “ Please give us your bosom and difficult work. We will take attention of your household for life ” is the first official communicating to the BoR employees after the amalgamation. There were besides apprehensivenesss on whether BoR employees, with an mean age of 53, will be absorbed by ICICI Bank, where the norm of employees is much lower. All 463 subdivisions of BoR have started working as ICICI Bank ‘s as per the directive of the Reserve Bank of India.
Reserve Bank has fixed Rs 154.50 per portion as monetary value for dissenting stockholders of Bank of Rajasthan, BoR informed the Bombay Stock Exchange ( BSE ) . Meanwhile the erstwhile BoR booster Pravin Kumar Tayal ‘s had moved to Supreme Court oppugning the SEBI order to stop dead his keeping in ICICI bank. SC has given a notice of 2 months to SEBI to make up one’s mind on the issue.
ICICI Bank, has announced its consequences for the one-fourth ended September 2010 ; which was the first 1 after amalgamation which includes the impact of the amalgamation for a period of 49 yearss. Deposits grew 11 % QoQ to Rs 2.2 trillion ( adjusted for the amalgamation, growing was 4 % QoQ ) . CASA ( current and savings histories ) grew 34.5 % YoY to Rs 981 bn ( adjusted growing of 33.9 % YoY ) . While SA deposits grew 28 % YoY ( 12 % QoQ ) , CA deposits grew 48 % YoY ( 24 % QoQ ) .A
Post amalgamation, ICICI-BoR ( “ the incorporate entity ” ) intends to leverage the strong SME presence and RRB web of BoR to better its Wholesale banking presence in mid-corporate and SME sections, and besides in Infrastructure and other undertaking finance. In retail banking, the merged entity intends to leverage its increased subdivision web to reorganise the retail concern around geographicss and client sections. The merged entity programs to better its gross revenues and service orientation through enhanced determination doing ability at its subdivisions.