 "Shares of small private banks rise on M&A hope post banking bill")
Shares in India’s smaller private sector banks gained on hopes the banking amendment bill approved by parliament on Tuesday will spark consolidation in the sector.
[caption id=“attachment_562976” align=“alignleft” width=“380”]  Dhanlaxmi Bank gains 3.4 percent, Karnataka Bank gains 4.3 percent while Federal Bank is up 4.4 percent. Reuters[/caption]
The bill lays the groundwork for non-banking financial companies to win banking licences, sparking speculation they could look to purchase smaller lenders to expand their footprint in the sector.
“We think there is a high possibility that many of the new banks could consider acquiring older, smaller banks with large distribution networks such as Karnataka Bank, Federal Bank,” Bank of America Merrill Lynch said in a report.
Dhanlaxmi Bank gained 3.4 percent, Karnataka Bank gained 4.3 percent while Federal Bank was up 4.4 percent.
Reuters
 "Israel targets top Hamas leaders in Doha; Qatar, Iran condemn strike as violation of sovereignty")
 "Nepal: Oli to continue until new PM is sworn in, nation on edge as all branches of govt torched")
 "Who is CP Radhakrishnan, India's next vice-president?")
 "Israel informed US ahead of strikes on Hamas leaders in Doha, says White House")
 "Israel targets top Hamas leaders in Doha; Qatar, Iran condemn strike as violation of sovereignty")
 "Nepal: Oli to continue until new PM is sworn in, nation on edge as all branches of govt torched")
 "Who is CP Radhakrishnan, India's next vice-president?")
 "Israel informed US ahead of strikes on Hamas leaders in Doha, says White House")
](https://images.firstpost.com/wp-content/uploads/2012/12/bankcounter_reuters7.jpg){kind=link}