SBI subsidiaries hit new highs

State Bank of Travancore hit a new high today at Rs.662.90, State Bank of Bikaner & Jaipur hit a new high at Rs.660, State Bank of Mysore hit a new high at Rs.640. SBI itself is in the green, up 2.5%.

Thus sudden ‘high’ tide in SBI subsidiaries comes on the back of SBI stating that it is planning on combing all its associate banks together. This will bring about a major consolidation in the Indian banking sector. SBI has stated that bringing these banks together will mean SBI’s asset base will increase to Rs.22 lakh crore and will add another 5658 branches to its existing 15,143 branches. Post the consolidation, the market share of SBI is expected to rise to 24% from the present 19%; truly a behemoth in the Indian banking sector.