Can DBS turn around a failed India bank?

BIGGER scale for cheap, a drag on profitability or a culture clash?

Mixed views have emerged on what the proposed amalgamation of struggling Lakshmi Vilas Bank (LVB) into DBS's India unit might mean for both parties.

The proposed takeover will not have a material impact on DBS's dividend payment, said the Singapore banking group's chief executive officer (CEO) Piyush Gupta on Thursday. "If you look at the scale, (the deal) is very small in the big scheme of things. So it is not material to our dividend or balance sheet," Mr Gupta said.

DBS India will pump in 25 billion rupees (S$463 million)…

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