The Reserve Bank of India On Tuesday sanctioned the merger of ING Vysya Bank with Kotak Mahindra Bank.
Udaya Kotak on the micro blogging website stated that "Happy to share that RBI has approved merger of Ing Vysya Bank with Kotak Mahindra Bank effective April 1, 2015 "
The Scheme will come into force with effect from April 1, 2015. All the branches of ING Vysya Bank will function as branches of Kotak Mahindra Bank Ltd. with effect from April 1, 2015.
The merger may still need Competition Commission of India (CCI) and such other approvals as may be required.
Post merger Kotak Mahindra Bank will become the fourth largest private sector lender in India, after ICICI Bank, HDFC Bank and Axis Bank.
Shares of the Ktak Mahindra Bank was seen trading at Rs 1309, marginally lower by 0.32 per cent at 11.20 am IST on BSE. It touched an intra-day low Rs 1306 during the trade.
ING Vysya Bank was seen trading higher by 0.47 per cent at Rs 940.50 on BSE. It touched an intra-day high of Rs 950.90 during the trade.