NSE BSE Give Green Signal For HDFC Merger…Check Details

HDFC Bank and parent HDFC have moved closer to a merger. On July 2, the businesses received ‘no observations’ letters from the stock exchanges, BSE and NSE. The planned merger would result in a huge balance sheet and net worth. This will pave way for a stronger credit flow into the economy. It would also ease underwriting of higher ticket loans, like infrastructure loans, which the country urgently needs.

Earlier on April 4, HDFC Bank said that parent HDFC will combine with the bank to enable smooth delivery of house loans, leverage HDFC Bank’s enormous base of over 68 million clients, and increase the rate of credit development in the economy, among other things. The united firm will bring together the two organisations’ complementing qualities, making way for a fulfilling client relationship.

Following the merger, HDFC Bank clients will be able to obtain mortgages in a smooth manner. According to a regulatory filing on April 4, HDFC Bank would also exploit the long-term mortgage connection to provide a variety of credit and deposit products with better insights across the customer life-cycle. The merger will be completed within 18 months.