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SBI mulls merging one of its associate banks this year


State Bank of India is contemplating merging one of its five associate lenders with itself this year as the parent bank's capital base expands, Chairman Pratip Chaudhuri said today.


Additionally, the country's largest lender will seek a go-ahead for raising capital from an institutional placement of shares, he said, adding such a move will also help expand the capital base necessary for a merger.

"We will definitely think of a merger this year. As the capital base expands, we will definitely think. This year I think, the capital position should be comfortable," he told reporters at the bank's corporate headquarters here.

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