A study on the performance of Indian Overseas Bank in pre & post merger and acquisition

The liberalization, privatization and globalization (LPG) process which was initiated in India in 1991 by PM P.V. Narasimha Rao and his then Finance Minister Dr. Manmohan Singh has caused a vast change in the economy of the country. This process of economic reforms has brought competition not only in India but also from abroad. In order to compete with this, India has tried to reorganize and restructure the Indian economic scenario, so that country can gain positive result in a broader way. As per the present scenario, for the enhancement of the economic progress, different types of committees have been established from time to time. Among them, Narasimham committee was important. It was established under the former Reserve Bank of India (RBI)’s governor M. Narasimham in August 1991 to look into every aspects of the financial system in India. “The Narasimham principles will guide the merger of nationalized banks”, said Minister of Finance Santosh Gangwar in Rajya Sabha. The paper is an attempt to evaluate the impact of Merger and Acquisition on the performance of banks. To achieve the study's objective secondary data of five years prior and post merger collected from annual audited financial statement, various research papers, websites, etc. In order to calculate the impact of merger and acquisition financial ratios, statistical tools and CAMEL approach have been used.