SBI eyes merger of associate banks; restates results

19 May 2009

The State Bank of India (SBI), which kicked off its merger moves with the integration of State Bank of Saurashtra last year, will soon merge two of its larger subsidiaries -  State Bank of Patiala and State Bank of Hyderabad - with itself.

SBI, the country's largest lender, hopes to emerge one of the top 25 banks in the world with the merger of all its associates with itself "as quickly as possible", a top bank source told reporters.

The bank also said it has issued revised figures for its quarterly and annual revenue issued last week.

SBI expects to begin the merger programme with the integration of the State Bank of Patiala and the State Bank of Hyderabad as banking reforms get a fresh impetus with the UPA coming back to power at the centre without support from the Left parties.

''The merger process of State Bank of Saurashtra has already happened and the roadmap is to complete the consolidation process in the shortest possible period,'' an SBI source said.

SBI is waiting for the go-ahead from the new government, the official said, adding, the process could happen in the immediate future.