Amalgamation Scheme :

The Central Government in exercise of the powers conferred by Section 9 of the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970/1980 after consultation with the Reserve Bank of India has notified the Amalgamation of Andhra Bank and Corporation Bank into Union Bank of India Scheme, 2020 ("Amalgamation Scheme") vide gazette notification dated March 4, 2020. It shall come into force on April 1, 2020. Please click here to download the copy of the Scheme.

Share Exchange Ratio :

The Board of Directors of the Transferee Bank and Transferor Banks at their meeting held on March 5, 2020 have approved the following Equity Share Exchange Ratio for amalgamation of Andhra Bank and Corporation Bank into Union Bank of India :

• a) 325 equity shares of the face value of Rs.10 each fully paid up in Union Bank of India for every 1,000 equity shares of the face value of Rs.10 each fully paid up held in the Andhra Bank as on the record date.
• b) 330 equity shares of the face value of Rs.10 each fully paid up in Union Bank of India for every 1,000 equity shares of the face value of Rs.2 each fully paid up held in the Corporation Bank as on the record date.

Record Date :

The ‘Record Date’ for issuing and allotting equity shares of the Union Bank of India to the shareholders of Andhra Bank and Corporation Bank is March 23, 2020.

Allotment Date : April 1, 2020

Allotment of Shares :

The Board of Directors of the Union Bank of India has approved allotment of 2,98,40,25,503 equity shares (2,97,88,35,104 shares in demat mode and 51,90,399 in physical mode) to the shareholders of Andhra Bank and Corporation Bank.

The Bank has received listing approval from the BSE and NSE for 2,97,88,35,104 shares issued in demat mode, effective from April 16, 2020. The shares have been credited to demat accounts of shareholders on April 16, 2020.

Further, due to non-availability of postal services pursuant to lockdown due to COVID-19, the dispatch of physical share certificates could not be done. The same will be dispatched as soon as the postal services are reopened and trading approval for the same will be obtained from the Stock Exchanges post dispatch.

Fractional Payment :

As per the Amalgamation Scheme, no fractional shares will be issued by the Union Bank of India in respect of fractional entitlements, if any, to any shareholder of the Transferor Banks and cash equal to the value of such fractional share determined in accordance with the valuation of the shares of the Transferee Bank i.e. Rs.71.60 per share will be made by warrant/NEFT/NACH/NECS etc. to the shareholders of Andhra Bank and Corporation Bank.