HDFC Bank Merges With Indian Premier Housing Finance Arm HDFC Ltd

HDFC Bank Ltd HDB disclosed the merger closure of HDFC Ltd., India's premier housing finance company, effective July 1, 2023.

As per the merger scheme, HDFC Bank will issue and allot to eligible shareholders 42 new equity shares of the face value of ₹1/each, credited as fully paid-up, for every 25 equity shares of the face value of ₹2/each fully paid-up held by such stockholders in HDFC Ltd. as on the record date of July 13, 2023.

After the merger, HDFC Bank has no identified promoter and marked its transformation of HDFC Bank into a financial services conglomerate that will offer comprehensive financial services.

"This is a defining event in our journey and I'm confident that our combined strength will enable us to create a holistic ecosystem of financial services. We're truly happy to welcome the talented team of HDFC Ltd. into the HDFC Bank family. I believe our journey will be defined by agility, adaptability, and a relentless pursuit of excellence. As we navigate the path ahead, we will embrace challenges as opportunities, learn from our experiences, and strive to be the benchmark of success and integrity in the financial services industry," said Sashi Jagdishan, CEO & MD, HDFC Bank.

Post-merger, HDFC Bank subsidiaries comprised HDFC Asset Management Co. Ltd, HDFC ERGO General Insurance Co. Ltd., HDFC Capital Advisors Ltd., HDFC Securities Ltd., HDB Financial Services Ltd., and HDFC Life Insurance Co. Ltd.

Price Action: HDB shares closed higher by 0.36% at $69.70 on Friday.

Photo Via Wikimedia Commons