North East Small Finance Bank (NESFB) has appointed seasoned banker Satish Kumar Kalra as its interim Managing Director (MD) and Chief Executive Officer (CEO), marking a significant development in the ongoing merger process with fintech startup slice. The Reserve Bank of India (RBI) and the bank’s board have both given their approval for Kalra’s appointment.
As part of his responsibilities, Kalra will play a pivotal role in spearheading the merger process between NESFB and slice, leveraging his four decades of experience. His focus will be on optimizing bank operations and ensuring a seamless cultural integration between the two entities.
Commenting on his appointment, Kalra stated, “I am deeply honoured to assume this role. This is a unique opportunity to be at the helm of what is poised to be a groundbreaking merger in the banking industry – a cross-cultural collaboration between two entities set to redefine the financial landscape by leveraging NESFB’s grassroots banking and slice’s digital prowess.”
In his capacity, Kalra will oversee the strategic growth of NESFB, ensuring compliance with regulatory standards, and utilizing his expertise to enhance branch management and strengthen the bank’s asset base.
NESFB’s independent director, Tapan Kumar Hazarika, expressed confidence in Kalra’s strategic vision aligning with the bank’s goals. He stated, “We are at a pivotal juncture in our journey, and the appointment of Mr Satish Kumar Kalra as Interim MD & CEO stands testament to our commitment towards excellence and sustainable growth… His strategic vision aligns perfectly with our goals, and we are eager to witness the innovation and progress he will undoubtedly bring to NESFB.”
Kalra, an alumnus of Kurukshetra University and a Certified Associate of the Indian Institute of Banker (CAIIB), has a rich history in the banking sector. He has previously served Andhra Bank as its MD, CEO (incharge), and executive director, driving growth in credit disbursals and branch additions. His expertise includes treasury management, non-performing asset (NPA) credit management, and risk management.
The appointment of Satish Kalra sets the stage for slice’s merger with NESFB. The RBI approved the proposal for the merger in October, paving the way for the consolidated entity to expand tech-enabled financial accessibility nationwide. The move is particularly significant for slice as it will acquire an SFB license, providing access to funds via customer deposits, a crucial advantage for credit at favorable rates.
As slice navigates regulatory uncertainties, the merger with NESFB aligns with its credit and banking ambitions. The development follows slice raising INR 75 Crores from Stride Ventures in a recent debt funding round.
Despite facing a net loss of INR 405.8 Crores in the financial year 2022-23 (FY23), slice’s strategic moves position it to weather regulatory challenges and scale up effectively.
