Don’t miss the latest developments in business and finance.

Corporation Bank Mulls Overseas Listing

Image
BUSINESS STANDARD
Last Updated : May 26 2001 | 12:00 AM IST

Mangalore-based Corporation Bank plans to go for an overseas listing (ADR and GDR) in the near future. It has also plans to acquire a bank.

The bank is also likely to bring down government holding in it to 51 per cent from the current 68 per cent. The bank registered a business of Rs 25,000 crore during 2000-01.

According to executive director P K Gupta, "Officials from the Nasdaq approached us and we are likely to come up with ADR/GDR. Discussions are currently on and we may appoint consultants in this regard. A final decision would take some time."

More From This Section

"We have already adopted the US generally accepted accounting principle (US Gaap) to create an image of a model bank with global standards," he said. Gupta was in the city to inaugurate the bank's new fully-computerised branch, its 653rd in the country. "The Central government has 68 per cent holding in our bank and it is likely to be brought down to 51 per cent," Gupta added.

He said the bank has finalised its 'Centenary Vision 2006' plan, which includes the organic and inorganic growth programmes. "We are aiming at a business of Rs 70,000 crore, which will include Rs 45,000 crore deposits and Rs 25,000 crore loans. To attain our goal, we will have to register a growth of 23 per cent every year," Gupta added.

He said the bank would make a fresh investment of Rs 125 crore in technology related areas during 2001-02. Under the investment plan, it would open 265 ATMs across the country.

The bank is also expected to announce its insurance venture soon, but Gupta ruled out direct entry into the sector. "We are in talks with the Life Insurance Corporation of India (LIC) and will market their products," Gupta said.

The banks advances and deposits stood at Rs 8,760 crore and Rs 16,578 crore respectively as on March 31, 2001. The bank has set a target of Rs 30,000 crore business during 2001-02.

Also Read

First Published: May 26 2001 | 12:00 AM IST

Next Story