On Track

Aug 04, 2014 (LBO) – Sri Lanka’s regulator driven consolidation is on track with 12 banks and 57 non-bank lenders submitting plans for mergers and recapitalization, the Central Bank said. Another 19 non-bank lenders have completed internal processes to allow them to submit the plans, the regulator said.

Already 19 proposals have been approved.

Consultants have completed Information Memoranda, Due Diligence Reports and Valuation Reports of 38 NBFIs which have been shared with 40 prospective partners.

Three micro-financiers have been given the nod.

The full statement is reproduced below:-

Financial Sectorn Consolidation Update – July 2014

The financial sector consolidation process made significant progress during July

Consolidation plans submitted to the Central Bank: Proposed
consolidation/merger/acquisition plans were submitted by banks and finance
and leasing companies (NBFIs), and those were reviewed and evaluated by
the Central Bank. The proposed plans included acquisitions with timelines
and price indications, mergers between NBFIs, envisaged infusions of
capital by present shareholders, and infusions of capital by