HDFC Bank
HDFC Bank
HDFC Bank and its parent company HDFC are going to unite soon in the private sector of India. Now HDFC Limited, one of the largest companies in India that provide home loans to people by mortgaging property, will also join the bank. The National Company Law Tribunal has approved the amalgamation of the two today i.e. on 17th March. This merger is being described as the biggest merger in the corporate history of India. RBI has already included HDFC Bank in the category of Too Big To Fail bank. Now after its merger with HDFC Limited, it will become one of the big banks of the country.
The merger was going on since 2015
Let us tell you that RBI, Securities and Exchange Board of India, PFRDA, Competition Commission of India have already given the green signal for the merger of HDFC Limited with HDFC Bank. The Company Law Tribunal has also given permission for the meeting of the shareholders for this merger. Mistry said that gradually, the aim is to expand home loans through more and more branches of the bank. The merger of these two may have been in discussion for some time, but in fact its scope was being explored since 2015 itself. Parekh had said in 2015 that his firm would consider a merger with HDFC Bank.
Biggest merger of corporate history in India
Let us tell you that this merger is being considered as the biggest transaction in the corporate history of India. HDFC Bank had agreed to take over the largest domestic lender on April 4, 2022, in a deal worth around $40 billion. This led to the creation of a financial services titan. The proposed entity will have a combined asset base of about Rs 18 lakh crore.
