HDFC And HDFC Bank Merger: Will Merger Impact Existing Employees? Chairman Deepak Parekh Answers

HDFC and HDFC Bank Merger: On Monday, housing finance company HDFC Ltd. announced its merger with HDFC Bank, the largest lending bank in India.

Written by: India.com Business Desk Edited by: Raghav Aggarwal

Updated: April 4, 2022, 3:08 PM IST

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HDFC and HDFC Bank Merger: Existing shareholders of HDFC Ltd will get 42 shares of HDFC Bank for every 25 shares of HDFC Ltd (Photo: AFP)

HDFC and HDFC Bank Merger | New Delhi: The biggest corporate merger in the history of India is likely to send ripples across various sectors. On Monday, housing finance company HDFC Ltd. announced its merger with HDFC Bank, the largest lending bank in India. Calming the woes of existing employees of HDFC Ltd, Chairman Deepak Parekh said that it will not have an impact on them.

PTI quoted Parekh as saying, “The HDFC-HDFC Bank merger will not impact employees of HDFC Ltd: Deepak Parekh.”

The HDFC-HDFC Bank merger will not impact employees of HDFC Ltd: Deepak Parekh

— Press Trust of India (@PTI_News) April 4, 2022

For shareholders, the existing shareholders of HDFC Ltd will get 42 shares of HDFC Bank for every 25 shares of HDFC Ltd, the company announced. HDFC Ltd will hold 41 per cent of the stakes in HDFC Bank. The share market has responded positively to the development. The HDFC Bank share price surged over 8 per cent to Rs 1,640 on Monday. On the other hand, the HDFC share price was also up over 8 per cent.

The deal is expected to be completed by the second or third quarter of FY 2024, according to media reports.