Union Bank on Wednesday said it has become the country’s fifth-largest public sector lender after amalgamating Andhra Bank and Corporation Bank into itself. The merger, effective from Wednesday, will harness rich individual legacies and forge a dynamic shared future, it said in a release. “As of today, all employees, customers and branches of Andhra Bank and Corporation Bank will become part of the Union Bank of India family,” it added.
The amalgamation will also strengthen the bank’s footprint in southern India with a considerable market share in this region, the Mumbai-headquartered lender said. The amalgamation is also expected to generate cost and revenue synergies to the tune of Rs 2,500 crore over the next three years. “We now offer our customers a much wider access to branches, ATM, digital services and credit facilities and are now in a much stronger position as a bank,” Union Bank Of India MD and CEO Rajkiran Rai G said.
The bank offers a wide array of products and services to more than 120 million customers across its over 9,500 branches and more than 13,500 ATMs. Combined, they are India’s fourth-largest banking network and fifth largest public sector bank. It further said in order to minimize disruption, the account numbers, IFSC codes, debit/credit cards and internet/mobile banking portals and login credentials will remain the same. Union Bank also said with effect from Wednesday, basic services such as cash withdrawal and deposit, balance enquiry and funds transfer will become interoperable across the combined network. “No additional charges will be levied on Andhra Bank and Corporation Bank customers using Union Bank ATM’s and vice versa,” it added.