ICICI needs FIPB nod to takeover BoR: Sources

Ahead of the crucial meeting of the ICICI Bank board to approve the takeover of Bank of Rajasthan (BoR) on Sunday,industry sources have said the former would need government clearance for the deal.

“It is obvious that they (ICICI Bank) will have to take the Foreign Investment Promotion Board (FIPB) approval as they are foreign-owned bank,” official sources in the industry and commerce ministry said.

ICICI Bank had announced last week that it would take over the troubled Bank of Rajasthan and called a board meeting on Sunday to consider the valuation report and approve the amalgamation of BoR. The ICICI board will also approve the share swap ratio for the merger.

BoR and ICICI Bank had appointed accountancy firm Haribhakti & Co to assess the value of the BoR.