A STUDY ON MERGER AND ACQUISITION IN INDIAN BANKING SECTOR

Abstract

Mergers and acquisitions (M&A) have become a strategic tool for organizations seeking to enhance their competitive edge, optimize operational efficiency, and achieve sustainable growth. The banking sector, being an important pillar of any economy, is not immune to these transformative trends . The Indian banking sector has also witnessed a series of significant mergers and acquisitions in recent years. This research paper delves into the complex field of mergers and acquisitions within the Indian banking sector, with a specific focus on the amalgamation of United Bank of India and Oriental Bank of Commerce with Punjab National Bank. The amalgamation of Punjab National Bank, United Bank of India and Oriental Bank of Commerce came into effect from April 1, 2020. The merger was one of the largest in the country's banking history after which Punjab National Bank become the 2nd largest public sector bank in India both in terms of business and branch network. The synergy from the amalgamation will create a globally competitive, next generation bank, PNB 2.0.