Union Bank Of India Board Meeting On Sept. 9 To Approve Amalgamation
A customer stands outside a Union Bank of India Ltd. branch in Mumbai, India. (Photographer: Dhiraj Singh/Bloomberg)

Union Bank Of India Board Meeting On Sept. 9 To Approve Amalgamation

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State-owned Union Bank of India on Wednesday said its board will meet on Sept. 9 to approve amalgamation of Andhra Bank and Corporation Bank with itself.

Besides, the board would also take up the matter related to capital infusion of Rs 11,700 crore, Union Bank of India said in a regulatory filing.

In a separate filing, United Bank of India said its board meeting will be held on Sept. 6 to approve its amalgamation with Punjab National Bank.

The government on Aug. 30 unveiled a mega plan to merge 10 public sector banks into four.

Four new sets of mergers are: Punjab National Bank, Oriental Bank of Commerce and United Bank of India will combine to form the nation's second-largest lender; Canara Bank and Syndicate Bank will merge; Union Bank of India will amalgamate with Andhra Bank and Corporation Bank, and Indian Bank will merge with Allahabad Bank.

Also read: PSU Bank Mergers: What Consolidation Means For Lakhs Of Employees

The exercise, seen together with the previous two rounds of bank consolidation, will bring down the number of nationalised Public Sector Banks to 12 from 27 in 2017.

Prior to the Bank of Baroda merger this year, the government had experience of State Bank of India which had merged five of its associate banks -- State Bank of Patiala, State Bank of Bikaner and Jaipur, State Bank of Mysore, State Bank of Travancore and State Bank of Hyderabad and also Bhartiya Mahila Bank effective April 2017.

Also read: Why PSU Bank Mergers Won’t Solve Indian Economy’s Most Pressing Problem 

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