MUMBAI: A clutch of banks, including ICICI Bank, Federal Bank, Canara Bank, Andhra Bank and Allahabad Bank — along with a foreign bank — Standard Chartered — have rushed to announce their interest in buying United Western Bank as it allows them to expand primarily into rural areas of Maharashtra.
Buying the Satara-based United Western, which has 230 branches in 47 districts and 9 states, helps rivals win business from cotton and sugarcane growers in the state.
“We’re in for a period of consolidation in the banking sector with bigger banks looking at buying out smaller ones that may give them better reach,” said Navneet Munot, who manages the equivalent of $3.7 billion in Indian securities at Birla Sunlife Asset Management Co in Mumbai.
