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MARKET EYE -ING Vysya Bank acquisition will be good fit for Kotak - Nomura
November 20, 2014 / 3:32 AM / 3 years ago

MARKET EYE -ING Vysya Bank acquisition will be good fit for Kotak - Nomura

* Acquiring ING Vysya Bank Ltd may strategically fill
many gaps for Kotak Mahindra Bank, Nomura says in a
report.
* Kotak is close to acquiring ING Vysya bank, ET Now business
news channel reported on Wednesday. (bit.ly/1t6wGno)
* Exchanges have asked ING Vysya Bank to clarify the media
report. 
* Both banks have low geographical overlap, similar liability
mix, Nomura says, adding it will provide Kotak with an SME
banking platform.
* Says potential acquisition will also help Kotak comply with
RBI's deadline on reducing promoter's stake.
* Will be incrementally positive on Kotak if deal happens at
valuations which are 10 pct accretive to earnings/networth, it
says.
* Nomura currently has a "neutral" rating on Kotak.

 (abhishek.vishnoi@thomsonreuters.com /
abhishek.vishnoi.thomsonreuters.com@reuters.net)

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