Centurion Bank-Bank of Punjab merger receive RBI approval

Mumbai: Centurion Bank and Bank of Punjab have received regulatory approval from the Reserve Bank of India (RBI) for the merger of the two banks, effective October 1, 2005. The merger had already been approved by the boards of directors and shareholders of both banks. The combined bank is proposed to be called Centurion Bank of Punjab, and will build upon the strong brand identities of the two banks in their respective markets.

Having received all the regulatory approvals for the merger, the focus will be to integrate the operations of both banks in a manner that will maximise synergy and value creation for the combined entity.

The merger of the two banks will result in the creation of a new private sector bank in the country with a nation-wide presence of 240 branches and extension counters, 386 ATMs, about 2.2 million customers and strengths in the retail, SME and agricultural segments.

Commenting on the approval, Rana Talwar, Chairman of the combined entity, said, "Centurion Bank of Punjab will build upon the strong franchises and traditions that the individual banks have built up and carry these to new heights.