Tamilnad Mercantile Commercial Bank: Be A Step Ahead of Life!

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Size – Employment, Branches, and Presence

Tamilnad Mercantile Bank Limited is a bank with its head office in Thoothukudi, Tamil Nadu, India. TMB was established in 1921 with its previous name Nadar Bank. Tamilnad Mercantile Bank changed its name from Tamilnad Mercantile Bank in November 1962 to explore its appeal beyond the Nadar Community. The bank has accounted for a net profit of INR 2585 million in the financial year 2018-19. Currently, the bank has almost 509 branches overall in India with 12 regional offices and two link offices. Tamilnad Mercantile Commercial Bank has two central processing centres with 48 eLobby centres, 262 Cash recycler machines, 1135 Automated Teller Machines and four currency chests. The bank has explored its footprint all over India. The bank was rated as the quickest growing private bank sector continuously for five years from 2010-2015. It was accounted as one of the excellent banks in the years 2013, 2014, and 2015 with its strong development. The bank has done a total business of INR 616 billion in the year 2018 and 2019. The bank has planned to approach INR 600 billion with extra 24 branches and 1150 ATMs. The bank won the Lokmat BFSI Best Private Sector Bank Award in 2014-15. Tamilnad Mercantile Bank is ranked fourth among its top competitors and almost 585 employees are working in it.

History, Mission and Vision

Tamilnad Mercantile Bank was established in 1921. Its primary objective to form this bank is to serve the Nadar business community and it was first put forward at the annual meeting held at Thoothukudi in 1920. The bank was originally organized on 11th May 1921 under the Indian companies act, 1932 as Nadar Bank Limited. M.V. Shanmugavel was appointed as the first chairperson on 4th November 1921. It had continued its business for the public on 11th November 1921 in Ana Mavanna Building at South Raja Street, Thoothukudi. Nadar had also spread its branches overseas with the inauguration from Sri Lanka in 1937 but it had closed it in 1939. The Bank was running under its four branches in TamilNadu mainly Madurai, Virudhunagar, Sivakasi and Thoothukudi in 1947. The bank had reached outside of Tamil Nadu and opened its first branch in Bangalore in 1976. Tamilnad Mercantile Bank was made fully computerized in WGC Road, Thoothukudi, Tamil Nadu on 9th December 1989. It had released its ATM card on 11th November 2003. The Tamilnad Mercantile Bank had been registered for its first initial public offering through the Securities and Exchange Board of India to raise a heavy amount of funds. 

Mission and Vision

Tamilnad Mercantile Bank had its primary mission to be a fully developed bank with strong brand equity. The bank is strengthening the value for all the stakeholders through excellence in performance and good governance. 

The bank chairperson and the Board of Directors are willing to grow this bank with higher advanced technology to handle millions of customers at various platforms. Professional ideas and higher thinking of team management will take the bank to peak in development and progress and transform this bank as a model bank in the Banking industry.

Contribution and Statistics

Tamilnad Mercantile Bank has obtained an annual turnover of INR 15,726 crores in foreign exchange in the year ended March 2019. Tamilnad Mercantile Bank ranked first among the Tamil Nadu-based private sector banks. The bank has moved its foreign exchange department from Tuticorin to Chennai with a vision to offer amplified advantages to its customers. The bank had earned interest income INR 36090.54 crores in the financial year 2020-21. It has advanced growth of 12.10% in 2020-21. The bank has a deposit growth of 11.26% in the year 2020-21. It has gained a return of assets up to 1.34% in 2020-21. The cost to income ratio of Tamilnad Mercantile Bank is 44.90%. The bank has a provision coverage ratio of 79.53%. Tamilnad Mercantile Bank has moved its foreign exchange department from Tuticorin to Chennai and established a Treasury and Foreign Exchange Operations with sufficient infrastructure to manage trading Government Bonds, Securities, Foreign Exchange and Derivatives. It is also a member of the Society of Worldwide Interbank Financial Telecommunication.   


Tamilnad Mercantile Bank has tie-ups with IDBI Bank in 136 locations and HDFC Bank in 531 locations. The bank is associated with various companies in India for offering Credit Cards, Debit Cards, Home Loans, Gold Loans, Agriculture Loans, Insurance, etc.

Future Perspective

Tamilnad Mercantile Bank has planned its initial public offering to resolve issues of shareholders for raising funds in 2019. The IPO has offered an exit to many shareholders, especially foreign institutional investors. The bank shares were traded at INR 400 and this price was doubled before the IPO.

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