Mottos for Success-266
“Extraordinary people are ordinary people who do everything in life with extraordinary Passion.”
1. The Govt. of Bihar, which plans to hire five lakh temporary teachers, is set to mandate UTI M F for a scheme that will help them save part of their salaries in a fund that the country's largest asset management company now manages. The State will have its Zila Parishads recruit these teachers, who will sign up in the savings programme that UTI MF proposes to devise.
2. Banks are catching their customers young. Children's deposit schemes are seeing little piggy banks grow into modest bank accounts. Some of the banks said their customer base under children's schemes have almost doubled this fiscal.
3. The boards of directors of ICICI Bank and Sangli Bank Limited at their respective meetings approved an all-stock amalgamation of Sangli Bank with ICICI Bank. Deloitte Haskins & Sells, the independent valuer appointed jointly by ICICI Bank and Sangli Bank, has recommended a share exchange ratio of 100 shares of ICICI Bank for 925 shares of Sangli Bank. The proposed amalgamation would result in issuance of an additional 3.45 mn shares of ICICI Bank, equivalent to about 0.4% of its existing issued equity share capital.
4. The amalgamation of Sangli Bank with ICICI Bank has once again highlighted the role of old private sector banks in the consolidation exercise. The deal is likely to prove beneficial to the shareholders of the ailing Sangli Bank, by offering them an opportunity to participate in the growth of ICICI Bank's widely spread out operations. For ICICI Bank, the merger would give it an immediate access to 198 branches of Sangli Bank, apart from strengthening its rural portfolio.
5. Allahabad Bank's zonal office at Barasat, North 24-Parganas district, recently organised a mega-credit camp in which farmers, entrepreneurs, borrowers and customers participated. The camp generated Rs 12.44 crs as loans for 1,551 borrowers, specially from agriculture and priority sectors. The bank has introduced different schemes for the development of farmers and women such as kisan credit card, kisan shakti yojana, women's empowerment scheme, etc.
6. The 50 bps hike in cash reserve ratio (CRR) to 5.50% by the RBI will impact banks' profitability, say bankers. The central bank's surprise move may put pressure on lending rates even as bankers are assessing the impact.
7. Banks are finding new ways of funding the high level credit growth, with lagging deposit accretion making lendable resources scarce and ahead of expected liquidity squeeze in the January-March 2007 quarter. Bankers said foreign currency deposits are being swapped by banks into rupees to meet the escalated demand for credit. Swapping of foreign currency deposits helps banks generate rupee liquidity and also to enjoy higher interest margins on rupee loans.
8. Foreign currency ratings and outlook (BB+/Positive/B) on ICICI Bank by Standard & Poor's Ratings Services remain unchanged following the bank's proposed acquisition of Sangli Bank. Although the financial profile of Sangli Bank is weak, as evident in its capitalisation and profitability, this merger will not have any material impact on ICICI Bank's financial profile.
9. RBI has suggested a limit of 0.25% of the net worth on banks' exposure to all non-option rupee derivative contracts, including rupee-foreign currency contracts.
“Extraordinary people are ordinary people who do everything in life with extraordinary Passion.”
1. The Govt. of Bihar, which plans to hire five lakh temporary teachers, is set to mandate UTI M F for a scheme that will help them save part of their salaries in a fund that the country's largest asset management company now manages. The State will have its Zila Parishads recruit these teachers, who will sign up in the savings programme that UTI MF proposes to devise.
2. Banks are catching their customers young. Children's deposit schemes are seeing little piggy banks grow into modest bank accounts. Some of the banks said their customer base under children's schemes have almost doubled this fiscal.
3. The boards of directors of ICICI Bank and Sangli Bank Limited at their respective meetings approved an all-stock amalgamation of Sangli Bank with ICICI Bank. Deloitte Haskins & Sells, the independent valuer appointed jointly by ICICI Bank and Sangli Bank, has recommended a share exchange ratio of 100 shares of ICICI Bank for 925 shares of Sangli Bank. The proposed amalgamation would result in issuance of an additional 3.45 mn shares of ICICI Bank, equivalent to about 0.4% of its existing issued equity share capital.
4. The amalgamation of Sangli Bank with ICICI Bank has once again highlighted the role of old private sector banks in the consolidation exercise. The deal is likely to prove beneficial to the shareholders of the ailing Sangli Bank, by offering them an opportunity to participate in the growth of ICICI Bank's widely spread out operations. For ICICI Bank, the merger would give it an immediate access to 198 branches of Sangli Bank, apart from strengthening its rural portfolio.
5. Allahabad Bank's zonal office at Barasat, North 24-Parganas district, recently organised a mega-credit camp in which farmers, entrepreneurs, borrowers and customers participated. The camp generated Rs 12.44 crs as loans for 1,551 borrowers, specially from agriculture and priority sectors. The bank has introduced different schemes for the development of farmers and women such as kisan credit card, kisan shakti yojana, women's empowerment scheme, etc.
6. The 50 bps hike in cash reserve ratio (CRR) to 5.50% by the RBI will impact banks' profitability, say bankers. The central bank's surprise move may put pressure on lending rates even as bankers are assessing the impact.
7. Banks are finding new ways of funding the high level credit growth, with lagging deposit accretion making lendable resources scarce and ahead of expected liquidity squeeze in the January-March 2007 quarter. Bankers said foreign currency deposits are being swapped by banks into rupees to meet the escalated demand for credit. Swapping of foreign currency deposits helps banks generate rupee liquidity and also to enjoy higher interest margins on rupee loans.
8. Foreign currency ratings and outlook (BB+/Positive/B) on ICICI Bank by Standard & Poor's Ratings Services remain unchanged following the bank's proposed acquisition of Sangli Bank. Although the financial profile of Sangli Bank is weak, as evident in its capitalisation and profitability, this merger will not have any material impact on ICICI Bank's financial profile.
9. RBI has suggested a limit of 0.25% of the net worth on banks' exposure to all non-option rupee derivative contracts, including rupee-foreign currency contracts.
