Kotak Mahindra Bank, ING Vysya up over 5% on shareholders' nod to merger

MUMBAI: Shares of Kotak Mahindra Bank and ING Vysya Bank today saw good buying interest, surging more than 5 per cent, after shareholders' approval to their merger deal.

Kotak Mahindra's scrip surged 5.53 per cent to settle at Rs 1,340.95 on the BSE. During the day, it climbed 6.31 per cent to touch its one-year peak of Rs 1,351.

Similarly, shares of ING Vysya Bank rose by 5.41 per cent to end at Rs 925.80 on the BSE. In intra-day, it soared 5.98 per cent to Rs 930.85 -- its 52-week high.

Private sector Kotak Mahindra Bank has secured its shareholders' approval for amalgamation of Bangalore-based ING Vysya Bank with itself.

In November last year, Kotak Mahindra Bank had announced the buyout of ING Vysya Bank in an all-stock deal valued at Rs 15,000 crore.

The Extraordinary General Meeting of Kotak Mahindra Bank held yesterday approved a share exchange ratio of 725 equity shares of the bank for every 1,000 equity shares of ING Vysya Bank, both companies said in a filing to the BSE.

Following the merger, Kotak Mahindra Bank would become the fourth-largest private sector bank.