The merger of Dena Bank and Vijaya Bank with state-run Indian lender Bank of Baroda has become effective, creating the third largest bank in the country after SBI and HDFC Bank.
The merged entity will have over 9,500 branches and more than 13,400 ATMs, reported PTI.
It will reportedly have a client base of 120 million and staff headcount of 85,000.
The merger secured the green light of the government this January.
It was first announced last September.
Bank of Baroda chief PS Jayakumar was quoted as saying by PTI: “We are extremely pleased that Bank of Baroda, Vijaya Bank and Dena Bank are coming together creating the second largest bank in terms of network and customer base.
“We would work for the success of the amalgamation by effective execution of all the activities to build a stronger organisation and collectively deliver more to the stake holders than that of sum of individual entities.”
The combined group is said to have a 22% market share in Gujarat.
In Maharashtra, Karnataka, Rajasthan and Uttar Pradesh, the group’s market share is expected to be between 8% and 10%.
The latest move marks the country’s first three-way merger deal.
However, it is the second consolidation of state-run banks in the country lately.