Changing Accounts

At least two local banks are carrying out due diligence studies to make a bid, informed market sources told Lanka Business Online.

rnrnLeading consultancy, Ernst & Young is expected to conduct the due diligence for the prospective bidders, that include Commercial Bank, whose Chairman declared the banks strategy to grow through acquisitions last week and minority player Nations Trust Bank.

rnrnAmerican Express
quote s total assets amounted to Rs. 1.9 bn at June 2001. Net loans and advances portfolio stood at Rs. 1.1 bn. Out of the total liabilities of Rs. 1.37 bn, deposit base amounted to Rs. 863 mn and Rs. 385 mn in borrowings.

rnrnDuring the six months ended 31 June 2001, bank has recorded a turnover of Rs. 194 mn and operating profit (before provisioning) of Rs. 66 mn.

rnrnAfter a provision of Rs. 123 mn, bank has recorded negative Rs. 57 mn as profit before tax for the period.rn