FTSE Russell is expecting HDFC Bank to replace Housing Development Finance Corporation (HDFC) in the FTSE Global Equity indices after the completion of their merger. In non-market capitalisation weighted indices, HDFC will be removed but HDFC Bank will not be added. A tentative completion date for the merger has been shared, and once it is effective, FTSE Russell will issue a notice
HDFC-HDFC Bank merger: Once the deal is effective, HDFC Bank will be 100 per cent owned by public shareholders, and existing shareholders of HDFC will own 41 per cent of the bank.
The merger of housing finance major HDFC with HDFC Bank, the country's biggest private lender, will come into effect on July 1, according to HDFC Chairman Deepak Parekh.
HDFC has clarified that the tentative dates for its merger with HDFC Bank, reported as 1 July 2023 for the effective date and 13 July 2023 for the record date, are subject to completion of certain formalities beyond its control.