Merger of 'Bank of Baroda' with 'Vijaya Bank' and 'Dena Bank' (Horoscopes of Three Banks)

Abstract

The Cabinet has approved the Merger of Vijaya Bank (VB) and Dena Bank (DB) with Bank of Baroda (BOB). Merger gives more benefits to the acquiring bank particularly to reduce "Fixed and Variable Costs" and to control wastages of the bank to a large extent. But one important factor is to be look into by the acquiring bank in merging process i.e., Strengthen the Organizational Structure i.e., Centralization and Decentralization of various operational areas of the Bank, span of control of various operating units of the Bank. This research article is mainly focus on analysis of financial and organization strengths of three banks and also various benefits accrue to the acquiring bank after merger.