SBI to buy 2 mid-sized foreign banks

State Bank of India (SBI) is acquiring two mid-sized banks in Asia and Africa. The due diligence is expected to be completed in 8 to 10 weeks.

The country's largest commercial bank is also planning to foray into pension and general insurance. "We have not decided if we would like to go solo or enter into a joint venture for pension. We will take up the general insurance business plan once we get into pension," chairman A K Purwar told reporters.

He also said the bank will consider raising Rs 2,000-3,000 crore through subordinate debt after its first half results were ready. The bank may need to raise tier-II capital to raise its capital adequacy ratio.