Merger Plan

Mar 03, 2014 (LBO) – Merchant Bank of Sri Lanka (MBSL), a unit of state-run Bank of Ceylon said it was merging with two subsidiaries and become a finance company, under a regulatory directive. Instead, all three units will merge and operate as a licensed finance company.

MBSL will merge with MBSL Savings Bank Limited and MCSL Financial Services Ltd, under a master plan by Sri Lanka’s central bank to reduce the total number of banks and finance companies in operation.

MBSL said it was dropping an earlier plan to merge with MBSL Savings Bank and become a ‘licensed specialized bank.’