JJEM: Special Edition 4 (May 2025)
JJEM: Special Edition 4 (May 2025)
2025-05-31
Performance Evaluation of SBI - A Comparative Study of Pre- and Post-Merger
Mr. Prasanna M Revankar , Mr. Rajesh R J
A merger technically means combining two companies into one. The changing worldwide scenario and sustainability of banks impede the amalgamation of the banking industry as a corporate strategy. It enhances their financial and operative strengths, maximises their global reach, achieves synergy by combining business activities, improves performance, and reduces expenses. In this backdrop, this paper discusses the six-way horizontal merger between six SBI associate banks and SBI (including Bharatiya Mahila Bank). Their position before and after mergers, finding out the motives behind this merger, and studying the benefits offered by this merger. This research paper concentrated on various parameters such as deposits, loans and advances, amount of interest income, return on equity, return on assets, and NPA of two years pre-merger period 2015-16, 2016-17, and post-merger period 2017-18, 2018-19. Complete integration of investments and treasuries will bring cost savings and synergy in the era of megamergers.
Mergers and Acquisitions (M&As), State Bank of India (SBI), Loans, Deposits