HDFC and HDFC Bank announced the merger on 1st July 2023. The HDFC merger deal is valued at 40 billion dollars, now it is the largest merger in India’s cooperative history. After the merger, this entity will be known as HDFC Bank.
HDFC Merger Aftermath
After the completion of the merger, HDFC Bank will be the 4th largest Bank in the world and 2nd largest financial institution in India, with combined assets of 18 lakh crore rupees.
Current HDFC investors will have 41% of the combined company’s shares, while public shareholders would hold the remaining 59%, making HDFC Bank 100% owned by the general public. An important development that is anticipated to have a positive effect on the Indian financial sector and the economy as a whole.
It will enable HDFC Bank to broaden its customer base and offer a wider range of products and services, as well as create a stronger and more competitive financial institution that is better positioned to meet the demands of India’s expanding economy. It will also create more employment opportunities in India.
It will also result in a more effective and integrated financial services company. After this merger, HDFC will dominate the banking industry in India because of its large customer database and all-India presence.