Tamilnad Mercantile Bank (TMB), a prominent player in the Indian banking sector, has received approval from the Reserve Bank of India (RBI) for proposed amendments to its Articles of Association (AOA). This development marks a significant step for the bank in its ongoing efforts to adapt to the evolving regulatory landscape.

Key Points of the Announcement

• RBI Approval: The Reserve Bank of India has given its nod to the changes suggested in Tamilnad Mercantile Bank's Articles of Association.
• Approval Date: The RBI's approval was communicated through a letter dated November 7.
• Legal Compliance: The amendments are in line with the applicable provisions of the Banking Regulation Act, 1949.
• Next Steps: TMB will seek shareholder approval for these AOA amendments through a Postal Ballot.

Regulatory Context

The approval comes under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. This regulation mandates listed entities to disclose material events or information to stock exchanges promptly.

Implications for Shareholders

While the specific details of the amendments have not been disclosed, changes to a bank's Articles of Association can have significant implications. These may include alterations to:

• Governance structures
• Shareholder rights
• Operational procedures

Shareholders will have the opportunity to review and vote on these changes through the upcoming Postal Ballot.

Market Impact

As of now, the market's reaction to this news remains to be seen. Investors and analysts will likely be keen to understand the nature and extent of the proposed changes once they are made public.

Tamilnad Mercantile Bank's proactive approach in aligning its Articles of Association with regulatory requirements demonstrates its commitment to good governance and regulatory compliance. As the banking sector continues to evolve, such adaptations may become increasingly common among financial institutions.

Shareholders and interested parties are advised to keep an eye out for further communications from TMB regarding the details of the proposed amendments and the Postal Ballot process.

Tamilnad Mercantile Bank (TMB) has announced revisions to its Marginal Cost of Funds Based Lending Rate (MCLR), effective November 7, 2025. The bank has made adjustments across various tenor categories, potentially impacting borrowing costs for its customers.

Key Changes in MCLR Rates

Notable Adjustments

The most significant changes in TMB's MCLR rates are:

1. Three-Month MCLR: Decreased from 8.30% to 8.20%, a reduction of 10 basis points.
2. Six-Month MCLR: Increased from 8.70% to 8.75%, an uptick of 5 basis points.

The overnight, one-month, and one-year MCLR rates remain unchanged at 7.50%, 7.50%, and 9.25%, respectively.

Implications for Borrowers

These MCLR adjustments may affect the interest rates on various loans linked to these benchmarks. Borrowers with loans tied to the three-month MCLR might see a slight decrease in their interest rates, while those linked to the six-month MCLR could experience a marginal increase.

It's important to note that the impact on individual loans will depend on their reset dates and specific terms. Existing and potential borrowers are advised to consult with Tamilnad Mercantile Bank for detailed information on how these changes might affect their loan agreements.

The bank's decision to revise its MCLR rates reflects its ongoing assessment of funding costs and market conditions. Such adjustments are part of the regular review process undertaken by banks to align their lending rates with current economic factors and regulatory guidelines.

Tamilnad Mercantile Bank's MCLR revision comes as part of its regulatory compliance, as communicated to the National Stock Exchange of India Ltd and Bombay Stock Exchange Limited under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.