- Advertisement -
Home Personal Finance HDFC Bank Merger: Announcement of merger of HDFC Bank and HDFC Investment,...

HDFC Bank Merger: Announcement of merger of HDFC Bank and HDFC Investment, know- what does it mean for customers?

0
HDFC Bank FD Rates Increased: HDFC Bank increased interest rates on fixed deposits, Check what's new rates now

HDFC BANK MERGER: The merger of HDFC Bank and HDFC Investment has been announced. With the merger of the corporation with HDFC Bank, HDFC Bank will be able to offer more competitive housing products as per the HDFC Bank BSE filing.


HDFC BANK MERGER: HDFC Bank , India’s largest private lender, will merge with the country’s largest housing finance company, Housing Development Finance Corporation or HDFC Ltd, to form a financial services conglomerate.

HDFC Ltd Chairman Deepak Parekh (DEEPAK PAREKH) said, “The resulting large balance sheet will allow underwriting of big ticket infrastructure loans, accelerate the pace of credit growth in the economy, promote affordable housing and give priority to the priority sector.” Will increase the quantum of loan.

HDFC, HDFC Bank merger

  1. As part of the deal, HDFC Ltd shareholders will receive 42 shares of the bank for 25 shares. The existing shareholders of HDFC Limited will own 41 percent of HDFC Bank.
  2. The shares held by the housing finance company in the lender will be liquidated, making HDFC Bank a wholly public company.
  3. The companies said in a regulatory filing that the subsidiaries and associates of HDFC Ltd will be transferred to HDFC Bank.
  4. Completion of Transaction Shareholders, creditors, stock exchanges including Reserve Bank of India (RBI) , Insurance Regulatory and Development Authority (IRDAI) , Competition Commission of India (CCI) , market regulator Securities and Exchange Board of India (SEBI) and subject to regulatory approvals Is.
  5. HDFC Bank and HDFC Ltd said in a statement that the closure is expected to be achieved within less than 18 months, subject to regulatory approvals and fulfillment of other customary closing conditions.
  6. HDFC Bank and HDFC Ltd will have a combined customer base with multiple financial products. That includes mortgages, savings accounts, life insurance, general insurance, health insurance, investment products, credit cards and personal loans.

Home Loan

  • With the merger of the corporation with HDFC Bank, HDFC Bank will be able to offer more competitive housing products as per the HDFC Bank BSE filing.
  • The corporation’s rural housing network and affordable housing loans are likely to qualify as priority sector loans for HDFC Bank. The merger will also enable higher flow of credit to priority sector credit including agriculture.
  • HDFC Bank can leverage the loan management system, which includes rules engine, IT tools and rules, agents connected through a central system.
  • HDFC Limited is an important provider of home loans to the Low Income Group (LIG) and Middle Income Group (MIG) segments under the Affordable Housing Initiative of the Government of India .
  • Access to housing finance for this category will be further improved due to the low cost funds available by HDFC Bank.
  • HDFC Bank has a presence in more than 3,000 cities or towns through 6,342 branches, of which about 50 per cent are in semi-urban or rural areas of the country.
  • The companies said that taking advantage of this disbursement, the proposed transaction will broaden home loan offerings, synonymous with the national objective of the Pradhan Mantri Awas Yojana, which intends to provide housing for all.

- Advertisement -DISCLAIMER
We have taken all measures to ensure that the information provided in this article and on our social media platform is credible, verified and sourced from other Big media Houses. For any feedback or complaint, reach out to us at businessleaguein@gmail.com

Exit mobile version