India Markets closed

RBI clears IndusInd Bank-Bharat Financial merger

1 / 1

RBI asks banks to upgrade ATMs for greater security

As per the timeline, banks have to implement a host of security measures by August and upgrade all ATMs with supported version of operating in a phased manner by June next year.

Private lender IndusInd Bank today said the Reserve Bank has approved the merger of Bharat Financial Inclusion Limited with the bank.

The Reserve Bank of India has, vide its letter dated March 13, 2018, conveyed its "no objection" for the voluntary amalgamation of BFIL with the Bank, subject to compliance with certain terms and conditions, IndusInd Bank said in a filing to BSE.

The scheme remains subject to the receipt of approval from the stock exchanges, Sebi, the National Company Law Tribunal, the respective shareholders and creditors of BFIL and the Bank and other applicable statutory and regulatory approvals, it added.

IndusInd Bank in October last year decided to acquire the country's leading micro-finance player Bharat Financial Inclusion Ltd (BFIL).

The merger will be effected through an all-stock transaction of BFIL into IndusInd through a Composite Scheme of Arrangement.

Post merger, the new entity will have 4,000 branches and outlets and 16 million customers.