HDFC Bank share price rose 13 per cent on announcement of a transformational merger with HDFC Ltd.
The share exchange ratio for the amalgamation of HDFC with HDFC Bank shall be 42 shares
(credited as fully paid up) of HDFC Bank for every 25 fully paid up equity shares of HDFC, it said.
“This merger is the biggest surprise move to markets and is a win-win call for all stakeholders.
This merger will create biggest financial services conglomerate to compete globally,”
said Prasanth Tapse, Vice president (Research) Mehta Equities.
HDFC Bank was quoting at Rs 1,713.70, up Rs 13.77 per cent, and HDFC was quoting at Rs 2,818.55, up 15 per cent on the BSE.
“The combined entity will leverage the power of distribution in urban, semi-urban and rural geographies
and cross-sell with a full suite of financial products to a large and growing customer base.