Maharashtra based Cosmos Cooperative Bank has called a special general meeting on 30th December 2023 for taking the approval from the shareholders for the scheme of amalgamation of Bengaluru based National Cooperative Bank into Cosmos Cooperative Bank.
The meeting has been called at Pune and all members have been invited to attend the meeting. After the approval from the members, the Cosmos Cooperative Bank will send the recommendations to the Reserve Bank of India for approval for the scheme.
Meanwhile, National Cooperative Bank is also holding a Special General Meeting on 29th December 2023 under the Chairmanship of Sri H C Krishna for considering and approving the scheme of amalgamation of the bank into the Cosmos Cooperative Bank.
It bears recall that National Cooperative Bank is one of the oldest banks of Bengaluru and due to its deteriorating financial status, RBI imposed directions under Section 35A of the Banking Regulation Act, 1949.
The National Co-operative Bank has a total deposit of Rs 1482.03 crore and loans & advances of Rs 908.06 crore as of March 31, 2023. The total business stood at Rs 2390.09 crore.
According to the annual report, the bank’s net non-performing assets were 40.75 percent as of March 31, 2023. The CRAR and Credit Deposit Ratio stood at -9.08 percent and 61.27 percent. The bank’s net loss stood in 2022-23 at 191.13 crore. The bank has 13 branches spread over Karnataka.
Talking to the Indian Cooperative, National Cooperative Bank’s former Chairman and Director H.R Suresh said, “Yes, it’s true we are in process to merge our bank with the Cosmos Cooperative Bank, which is under the RBI directions, to protect the interest of the depositors, shareholders, employees and others. The bank which was established somewhere in 1975 has been in loss for the past two years”.
“There are around 31,010 shareholders associated with the bank. We will also take the approval from the members for amalgamating our bank with the Cosmos Cooperative Bank, which is one of the largest urban cooperative banks of India”, said Suresh to this correspondent.
Coming to Cosmos Cooperative Bank, the bank had a business mix of more than Rs 30,000 crore and earned a gross profit of Rs 514 crore as on 31st March 2023. The bank has a network of 170 branches spread across 7 states and in 42 major cities.
Great steps. We wish you the prosperous business endeavours ahead.
Great movement, Iam a member of the NCB as i am not in station i couldn’t attend the meeting. My continued support with cosmos bank for ever for a long run. All the best.🙏
I am an account holder of NCB. I trust the management for the action to murge with cosmos bank.
I would like to continue with my faith in deposit,& transactions.
It all depends upon the terms and ratio for conversion.
I am member of the NCB & support the management for merger.
Just checking what happened at the SGM called today.
Hope this goes through.
Am the depoisted with the NCB. I support for this merger. Great step to safeguard the interests of the stakeholders.