copy of merger and acquisitions

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    SNEHA KHAWALE 81 URMILA PATEL

    VAMSHA SHETTY

    SAGAR DHOLE

    ANAND JAIN RAHUL MISHRA 88

    AMIT RUPAREL

    ARPANA TIWARI

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    In business or economics merger is acombination of two company into onelarger company.

    Acquisition is the process through

    which one company takes over thecontrolling interest of anothercompany.

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    When one company takes over another and

    clearly establishes itself as the new owner, the

    purchase is called an acquisition

    merger happens when two firms, often of

    about the same size, agree to go forward as a

    single new company rather than remain

    separately owned and operated.

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    ICICI BANK(vamsha)

    Icici bank isindias second largest bank withtotalassetsofRs 3634.00 billion(US $81 billion) at March31,2010 & PAT RS 40.25 billion(US$ 896million) for

    the year ended March 31,2010. The bank has a network of2,035 branches & about

    5,518 ATMsin India & presencein 18 countries,

    ICICI bank offers a wide rangeofbanking products &fi

    nanci

    alse

    rvices

    to

    co

    rpo

    rate

    & ret

    ail

    custom

    erthrough variety ofdelivery channels & throughits

    specialized subsidiariesin areasofinvestmentbanking ,life & non-lifeinsurance,venture capital &asset management

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    Merger with Bank of Rajasthan (BoR) is a win-

    win situation for all stakeholders

    ICICI Bank's branch network will expand by

    25%

    Market position will increase

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    Commitment to getting closer to theircustomer.

    Cheaper deal- paid 6.5 crore perbranch.CASA deposits

    Quality of advances, investments,

    deposits, properties

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    ICICI Bank is the largest private sector bank

    in India.

    ICICI offers lending and deposit services tosmall business and individuals.

    Other offerings include online banking,

    asset management and insurance

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    Conflict with SEBI

    Profit declined

    Growing Network

    Net loss of Rs. 0.10

    billion in the nine months

    ended December 31, 200

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    ICICI Bank's branch network would go

    up to 2,463 With this takeover ICICI will cross Rs 4

    lac crore .

    With a market capital dilution of

    just three percent , branch

    network will increase

    by 25 per cent

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    Risks arising from BoR's non-performing

    loans and that BoR is trading at expensive

    valuations

    Shares declined by 7.24 per cent to close atRs 825 on the BSE

    Based on the swap ratio the valuation is

    expensive .

    According to the share swap ratio,ICICI Bank has paid around Rs 6.5

    crore per branch

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    BoR shares on opening itself hit the 20 per -

    cent upper circuit at Rs 119.4, on a day when

    the Sensex declined by 467 points. Employees of BoR will be protected by ICICI

    BANK

    Market share will increase

    for BoR by 20%

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    Salary of employees of BoR will be affected

    Under foreign bank

    Unions are not

    satisfied