The Reserve Bank of India has approved the merger of Kotak Mahindra Bank and ING Vysya Bank, creating the country’s fourth largest private sector bank.
The deal, which is valued at INR150bn ($2.4bn), has received the approval of Competition Commission of India (CCI) in February this year.
The merger will come into effect from 1 April 2015.
Following the merger, all the tangible and intangible assets of ING Vysya will be transferred to Kotak Mahindra Bank.
The combined entity with 10,000 staffs of ING Vysya and 29,000 employees of Kotak Bank will have 1,214 branches across the country.