Summary of Proposed Investment
Project Number
7120
Company Name
ORIENTAL BANK OF COMMERCE
Date SPI Disclosed
Nov 6, 1995
Country
India
Industry
Financial Markets
Status
Completed
Sector
Commercial Banking - General
Department
Global Industry, Financial Markets
Environmental Category
FI
Previous Events
Approved : May 7, 1998
Signed : May 8, 1998
Invested : Oct 21, 1998
Project Description
Summary Of Project Information (SPI)
| Project Name | India-Global Trust Bank |
| Region | Asia |
| Sector |
Projected Board DateJanuary 15, 1996
Company NameGlobal Trust Bank
Technical Partner and/or Major Shareholders
The main sponsors are a group of professional bankers, led by Mr. Ramesh Gelli, who collectively hold 40% of the share capital. H&Q, a mid-sized US investment bank, and TA Enterprises Berhad, a leading Malaysian securities firm are the technical partners, with respective holdings of 6.9% and 6%. Other shareholders include the Asian Development Bank and IFC, each with a shareholding of 9.62%. The balance of the share capital is held by the public (25%).
Project Cost Including proposed IFC investment
IFC investment: A loan of up to US$10 million
Total Project Cost: $10 million.
Location of project and Description of site
Global Trust Bank has its headquarters in Secunderabad, India and has 10 branches throughout India.
Description of Company and Purpose of Project
Global Trust Bank is a recently established bank. It is one of nine privately owned banks which have been licensed following the liberalization of India’s banking sector. Global Trust Bank had a net worth of Rs 1.3 billion ($ 38.2 million) and total assets of Rs 14.1 billion ($ 414.4 million) as of September 30, 1995. The proposed loan would be used to provide trade finance and project finance to small and medium-sized private sector companies in India, mainly in the exports sector.
Environmental Category and Issues
This is a category FI project according to IFC’s environmental review procedure. For relevant operations, Global Trust Bank will be required to implement an environmental risk management system consistent with Government of India environmental regulations and World Bank policies. In addition, IFC will assess Global Trust Bank’s capability to implement the system.
| Date SPI sent to PIC | November 6, 1995 |
For Additional Information contact: Corporate Relations Unit -
telephone: (202) 473-7711
facsimile: (202) 676-0365
Sponsor / Cost / Location
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