BB gets 5 merger proposals from banks

Another five merger proposals from different banks have been placed before the central bank, and the regulators aim not to receive any more applications for the time being before the completion of the initial bids.

Speaking to The Business Post, Bangladesh Bank Executive Director and Spokesperson Md Mezbaul Haque said, “The managing directors and chairmen of the respective banks had verbally informed the central bank about the planned merger.”

Under the five proposals, state-run Sonali Bank wants to acquire Bangladesh Development Bank Ltd (BDBL), while Bangladesh Krishi Bank (BKB) wants to take over Rajshahi Krishi Unnayan Bank (RAKUB).

Besides, Private commercial City Bank wants to acquire state-run BASIC Bank, United Commercial Bank plans to buy problematic National Bank and Shariah-based Exim Bank wants to absorb scam-hit Padma Bank.

Haque added, “These banks gave proposals to the central bank, and it is part of the roadmap. The central bank did not pressure any bank for merger acquisitions. These are voluntary merger proposals and the lenders will apply to the central bank formally after the plan is approved at their board meeting.”

“We will work on the five proposals at this moment. We will receive more proposals after completing the merger of the five proposals.”