MERGERS AND ACQUISITIONS AND RESTRUCTURING

BANKING SECTOR
GROUP NO.1

NISHA AGARWAL NUTAN SHANBHAG PRATIK TIBREWAL ANJALI MOOLRAJANI VISHAL SATRA

Banking-Changes

HDFC

DCB

JNK

LAKSHMI VILAS`

HDFC
HDFC Bank was incorporated in August 1994, and, currently has an nationwide network of 2,150 Branches and 6,838 ATM's in 1,141 Indian towns and cities. The Housing Development Finance Corporation Limited (HDFC) was amongst the first to receive an 'in principle' approval from the Reserve Bank of India (RBI) to set up a bank in the private sector, as part of the RBI's liberalization of the Indian Banking Industry in 1994. The bank was incorporated in August 1994 in the name of 'HDFC Bank Limited', with its registered office in Mumbai, India. HDFC Bank commenced operations as a Scheduled Commercial Bank in January 1995.

DCB-Development Credit Bank

Founded in 1930-small new generation private sector bank with offerings in retail, SME and corporate banking segments`

DCB has a network of 80 branches, 134 ATMs and approximately 600,000 customers as of FY11. It spans across 10 states in the country

JAMMU AND KASHMIR BANK

The Bank , incorporated in 1938. It has a track record of uninterrupted profits and dividends for four decades. The J&K Bank is rated P1+, indicating the highest degree of safety by Standard & Poor and CRISIL.

J&K Bank
It is the only private sector bank designated as RBIs agent for banking business, and carries out the banking business of the Central Government, besides collecting central taxes for CBDT. During the nancial year 2010-11, 16 branches were added, taking the number of branches to 548 as on 31-03-2011, spread across 20 states and one union territory.

LAKSHMI VILAS BANK

Founded-1926 Objective-To cater to the financial needs of varied customer segments. During 1961-65 LVB took over nine banks and raised its branch network considerably. Network of 249 branches, 3 satellite branches and 6 extension counters
Banking No FRILLS SB A/C International Banking NRI Banking Net Banking SMS Banking Fixed Deposits Services Bill Payment Online RTGS SMS alerts Forex Services Western Money Transfer RTGS

Savings Bank, Current Account Shop online

COMPARISION OF RATIOS
PARTICULARS DCB(AVG.) J N K(avg) LAKSHMI VILAS BANK(AVG) 89.602 7.51 434.382

EPS PE
NPAT DPS NIM ROE CASA NET NPA

-1.04 44.348 -18.424

6.538 13.59 44.992

50.44 2.726 -2.9

30.84 69.292

18.38 2.746 17.016

39.092 160.48

1.56 2.286 8.21

19.504 102.396

Why DCB? DCB Fundamentals

Earnings Per Share (Rs)

2011

2010

2009

2008

2007

Strong and experienced new Management

1.07 -3.92 -5.05 2.2 0.5

PER(x)

42.83

0 38.83 140.08

Profit Before Tax

MPS

29.26 -72.74
47.45 32.2

-86.6 36.14
18.9 86.65

1.82
67

Recent quarter ended Sept 2011

Net interest margin increased to 3.41 per cent (3.14 per cent). Provisions declined substantially to Rs 7.5 crore (Rs 16 crore).

Capital Adequacy Ratio was at 13.10 per cent.

Rationale-Why DCB
Strong and experienced new Management Focus on retail liabilities than wholesale liabilities Improving cost efficiency Improvement in NPA ratios

Share Exchange Ratio

THANK YOU