MARKET EYE-Indian small lenders gain; bank bill sparks M&A hopes

Wed Dec 19, 2012 12:04pm IST

Related Topics

Stocks

   

* Shares in India's smaller private sector banks gain on hopes
the banking amendment bill approved by parliament on Tuesday
will spark consolidation in the sector.
* The bill lays the groundwork for non-banking financial
companies to win banking licences, sparking speculation they
could look to purchase smaller lenders to expand their footprint
in the sector. 
* "We think there is a high possibility that many of the new
banks could consider acquiring older, smaller banks with large
distribution networks such as Karnataka Bank, Federal Bank,
etc," Bank of America Merrill Lynch said in a report. 
* Dhanlaxmi Bank gains 3.4 percent, Karnataka Bank
 gains 4.3 percent while Federal Bank is up
4.4 percent.

 (abhishek.vishnoi@thomsonreuters.com /;
abhishek.vishnoi.reuters.com@reuters.net)
FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

REUTERS SHOWCASE

RBI Policy Review

RBI Policy Review

RBI keeps rates on hold, warns on inflation  Full Article 

Monsoon Season

Monsoon Season

India's 2014 monsoon ends with double-digit rain deficit .  Full Article 

Cleanliness Drive

Cleanliness Drive

Modi orders officials to clean loos on Gandhi's birthday.  Full Article 

Bid to Boost Trading

Bid to Boost Trading

RBI takes small steps to deepen markets.  Full Article 

Car Recall

Car Recall

Maruti Suzuki says to recall 69,555 cars.  Full Article 

China Factory Data

China Factory Data

China final HSBC PMI steady in September on stronger global demand but risks remain  Full Article 

Oil Demand

Oil Demand

India's thirst for oil grows even as China cuts back  Video 

EBay Divests PayPal

EBay Divests PayPal

EBay to spinoff PayPal in 2015  Full Article 

New 'Windows'

New 'Windows'

Microsoft names next operating system 'Windows 10'.  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage