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Merchant Merger

Aug 27, 2010 (LBO) - The state-owned Merchant Bank of Sri Lanka (MBSL) seeks to merge with two units of its parent Bank of Ceylon group, a stock exchange filing said. It said a proposal is being considered to merge Merchant Credit of Sri Lanka and Ceylease Finance Services with Merchant Bank of Sri Lanka with the continuing entity to be MBSL.
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The MBSL board agreed to the merger at a meeting on August 25 subject to getting the licensed specialised banking license for BMSL, regulatory clearances and statutory approvals, it said.

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The boards of Merchant Credit of Sri Lanka and Ceylease Finance Services have also approved the merger.

Merchant Credit of Sri Lanka is a subsidiary of Bank of Ceylon that does deposit taking, leasing, hire purchase, lending and real estate development.


Ceylease Finance Services provides leasing and hire purchase facilities and is also into property development and sales.


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