MERGER OF THE BANK OF RAJASTHAN LIMITED WITH ICICI BANK
The Bank of Rajasthan Limited (Bank of Rajasthan), a banking company
incorporated within the meaning of Companies Act, 1956 and licensed by
Reserve Bank of India (RBI) under the Banking Regulation Act, 1949 was
amalgamated with ICICI Bank Limited (ICICI Bank/the Bank) with effect from
close of business on August 12, 2010 in terms of the Scheme of Amalgamation
(the Scheme) approved by RBI vide its order DBOD No. PSBD
2599/16.01.056/2010-11 dated August 12, 2010 under sub section (4) of
section 44A of the Banking Regulation Act, 1949. The consideration for the
amalgamation was 25 equity shares of ICICI Bank of the face value of Rs.10
each fully paid-up for every 118 equity shares of Rs.10 each of Bank of
Rajasthan. Accordingly, ICICI Bank allotted 31,323,951 equity shares to the
shareholders of Bank of Rajasthan on August 26, 2010 and 2,860,170 equity
shares, which were earlier kept in abeyance pending civil appeal, on
November 25, 2010.
During the year, we acquired The Bank of Rajasthan which substantially enhanced our branch network and strengthened our presence in northern and western India. The merger of Bank of Rajasthan added over 450 branches to our network. Including these, our branch network has increased from 1,707 branches at March 31, 2010 to 2,529 branches at March 31, 2011. We also increased our ATM network from 5,219 ATMs at March 31, 2010 to 6,055 ATMs at March 31, 2011.
During the year, the integration of Bank of Rajasthan into the Bank was a major exercise which was successfully completed. The integration process focused both on business as well as cultural integration. The people and cultural integration was achieved through well-planned communication of the Bank's values and culture. The Bank reached out to all employees of Bank of Rajasthan and addressed their expectations and concerns. This was achieved through communication from the top management of the Bank, open house sessions jointly conducted by senior managers from Bank of Rajasthan and ICICI Bank and one-on-one sessions wherever required. Further, to align the skill sets of Bank of Rajasthan employees, special training programs were designed and conducted by the Bank.
Pursuant to the merger of the Bank of Rajasthan, we also enabled seamless transactions for the customers of Bank of Rajasthan in a short timeframe and combined the ATM and branch networks and technology infrastructure. To enable better customer service, our branch staff has been equipped with a comprehensive and single view of customer relationships. We have also enhanced our Interactive Voice Response system at our call centres to support regional Indian languages.
Amalgamation of The Bank of Rajasthan
On May 23, 2010, the Board of Directors of ICICI Bank and the Board of Directors of The Bank of Rajasthan Limited (Bank of Rajasthan), an old private sector bank, at their respective meetings approved an all-stock amalgamation of Bank of Rajasthan with ICICI Bank at a share exchange ratio of 25 shares of ICICI Bank for 118 shares of Bank of Rajasthan. The shareholders of ICICI Bank and Bank of Rajasthan approved the scheme of amalgamation at their respective extra-ordinary general meetings. RBI approved the scheme of amalgamation with effect from close of business on August 12, 2010.
We have issued 31.3 million shares in August 2010 and 2.9 million shares in November 2010 to shareholders of Bank of Rajasthan. The total assets of Bank of Rajasthan...
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