Business Standard

IDBI prepared for more acquisitions

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Press Trust of India Mumbai

The public sector bank has already initiated discussions with a few private and public sector banks and hopes to seal an acquisition this fiscal, an official close to the development said, without disclosing the identities of the banks.     

"The bank is in serious discussions with a few mid-sized banks. A decision can be expected in the next few months," the official said.     

 

While an acquisition will provide IDBI Bank with a ready branch network, it is simultaneously focusing on organic growth as well and proposes to open 200 branches and an equal number of ATMs this fiscal.     

"We are planning to open 200 more branches and 200 ATMs in FY'09. With this expansion, the bank would be in a better position to improve its business growth," the bank's Deputy Managing Director O V Bundellu said.     

However, he too declined to divulge the identities of the banks targeted for acquisition.

With its present deposit and advances at Rs 72,000 crore and Rs 82,000 crore respectively, IDBI Bank is in a strong position to face competition emanating from its peers, both from the public and private sectors, he said.     

"In the retail segment, we have targeted an above 30 per cent growth in both advances and deposits. IDBI has a current customer-base of 20 lakh, which, we plan to augment in the period ahead," he said.

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First Published: May 25 2008 | 3:09 PM IST

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