Every HDFC shareholder will get 42 shares of HDFC Bank for each 25 shares they maintain. (Representative picture)
HDFC-HDFC Bank Merger: The proposed entity could have a mixed asset base of round Rs 18 lakh crore.
HDFC Bank on Wednesday stated markets regulator Securities and Exchange Board of India (Sebi) has granted its ultimate approval for the proposed change accountable for HDFC AMC.
This approval will assist pave the way in which for the merger of HDFC into HDFC Bank, anticipated to be finalised by the third quarter of the subsequent monetary yr.
Sebi, via its letter dated May 10, 2023 to HDFC Asset Management Company Limited, a subsidiary of HDFC Ltd and the funding supervisor of HDFC AMC AIF II, has granted its ultimate approval for the proposed change accountable for HDFC AMC, the non-public sector lender stated in a inventory alternate submitting.
“SEBI has additionally suggested HDFC AMC to make sure compliance with all different provisions of SEBI (Alternative Investment Fund) Regulations, 2012 and circulars issued thereunder,” it added.
Termed as the biggest transaction in India’s corporate history, HDFC Bank on April 4 last year agreed to take over the biggest domestic mortgage lender in a deal valued at about USD 40 billion, creating a financial services titan.
The proposed entity will have a combined asset base of around Rs 18 lakh crore.
Once the deal is effective, HDFC Bank will be 100 per cent owned by public shareholders, and existing shareholders of HDFC will own 41 per cent of the bank.
Every HDFC shareholder will get 42 shares of HDFC Bank for every 25 shares they hold.
(This story has not been edited by News18 employees and is printed from a syndicated information company feed)
