Reserve Bank of India stated that Punjab and Maharashtra Co-operative (PMC) Bank has received expressions of interest (EoIs) from four suitors. The validity of the above-stated directive dated September 23, 2019, as modified from time to time, has been extended by RBI for a further period from December 23, 2020 to March 31, 2021. While drafting the document for inviting EoIs RBI had already mentioned that it would be open to new investors, also wanting to run this PMC bank as a small finance bank.
Bharat Pe and Centrum Group have made submissions to the Reserve Bank of India (RBI) for the acquisition. They are two among the four who submitted the proposal. Both Bharat Pe and Centrum will hold equal stakes in the venture. Central Bank said that PMC Bank has informed RBI regarding the proposals they have been received, and they have examined these proposals based on their viability and feasibility taking into account the best interest of the depositors.
On December 4th, the RBI Governor Shaktikanta Das Already said that regarding the reconstruction of PMC Bank, the investors showing a positive look. He added that the Bank and management were fully engaged with the prospective investors who had bought the information memorandum.
After detection of certain financial irregularities, in September 2019 the RBI had superseded the board of PMC bank and placed it under regulatory restrictions. At first, the RBI had only allowed depositors of a bank to withdraw Rs 1,000, which was later raised to Rs 1 lakh per account to reduce their difficulties.