Abstract

The case ‘The GTB-UTI Bank Merger Story’ discusses all the circumstances surrounding the proposed merger between UTIB and GTB. The case discusses the various developments that took place from the time the merger was announced. It also focuses on the alleged nexus between GTB’s Chief Managing Director, Ramesh Gelli, and the broker Ketan Parekh to rig the price of the GTB scrip to get a favorable swap ratio. The case helps students understand the different problems associated with mergers of banks. They are expected to understand the concept of swap ratios. Students are also expected to study the circumstances surrounding the merger to determine whether Gelli and Ketan Parekh had formed a nexus to rig the price of the GTB scrip to get a favorable valuation.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• Proposed merger between UTIB and GTB
• Call off of the merger
• valuation of swap ratios.

Keywords

The GTB-UTI Bank Merger Story, merger, UTIB, GTB, Chief Managing Director, Ramesh Gelli, broker, Ketan Parekh, swap ratio, problems, mergers, banks, merger, Gelli, Ketan Parekh, valuation