Monday, December 24, 2007

Saraswat Bank takeover Nashik Peoples Co-operative Bank

Nashik Peoples Co-Operative Bank has shown an accumulated loss of Rs 40 crore. To save the bank from going in further loss the country’s largest co-operative bank, Saraswat Co-Operative Bank, has announced to acquire this bank.

This is the fifth acquisition by Saraswat bank in the past two years and with the acquisition of Nashik bank there will be 141 branches across the country.

Saraswat Bank director Eknath Thakur told the existing 12 extension counters are being converted into full-fledged branches; with this the number is expected to go up to 153.

In the next four years the bank has plans to buy two-three more banks. “We have a target to acquire 10 lakh more customers by 2011. For this, the bank will have to acquire a few more banks and we are in talks with 2-3 troubled banks,” Mr Thakur said.

In the next 10 years the bank has set a mark of achieving Rs 1 lakh crore business. There have been rumors that bank might convert into a private sector but the bank has denied the rumors and said its board has no plans to convert the bank into a private sector one in the near future. “We will be maintaining the co-operative status until we reach that size (of a private sector bank),” Mr Thakur said.

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