HDFC Bank has started rebranding the offices and branches of HDFC Ltd after the merger of the two companies was announced on late Friday.
Branding at the home lending giant’s 500 offices and branches began to take place on the HDFC Bank look on Saturday morning, PTI quoted officials as saying.
The complete process of changing the look of HDFC Ltd offices and branches is expected to take around 24 hours, they said, adding that HDFC Ltd’s corporate headquarters at Ramon House is already among the locations where the branding has been updated.
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The rebranding is part of the integration process of the two companies. HDFC Ltd, the parent company of the country’s largest private sector lender, merged into HDFC Bank on Saturday, with both firms’ boards of directors approving the plan first proposed on April 4 of last year. HDFC Ltd, the world’s largest pure-play home funder, goes out of business 44 years after it was created.
The merger of HDFC Bank and HDFC Ltd is the biggest merger in India’s corporate history. The merger has created a financial services behemoth with assets of over $300 billion.
The merger is expected to create synergies and efficiencies for the combined entity. It is also expected to help the combined entity to expand its reach and offerings.
The rebranding of HDFC Ltd offices and branches is a symbolic gesture of the merger of the two companies. It is also a sign of the combined entity’s commitment to its customers and employees.
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Sashidhar Jagdishan, managing director and chief executive of HDFC Bank, is scheduled to speak at a town hall meeting later in the evening. Following the merger, around 3,500 HDFC personnel were incorporated into HDFC Bank.
Termed as the biggest transaction in the history of India Inc, HDFC Bank on April 4, 2022, agreed to take over its parent, which is the largest pure-play mortgage lender, in a $40-billion all-stock deal, creating a financial services titan with a combined asset of over Rs 18 lakh crore.
The combined shares of the HDFC twins will have the highest weighting on the indices at close to 14 per cent, much higher than the present index heavyweight Reliance Industries with a 10.4 per cent weightage.
With the deal getting 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. Every HDFC shareholder will get 42 shares of HDFC Bank for every 25 shares they hold.
In the statement issued on Friday, Jagdishan said the combined strength will help create a holistic ecosystem of financial services. “We’re truly happy to welcome the talented team of HDFC Ltd into the HDFC Bank family. I believe our journey will be defined by agility, adaptability, and a relentless pursuit of excellence. As we navigate the path ahead, we will embrace challenges as opportunities, learn from our experiences, and strive to be the benchmark of success and integrity in the financial services industry,” he said.
The board of directors of HDFC Bank in consultation with the board of directors of HDFC Limited has fixed July 13, 2023, for determining the shareholders of HDFC Ltd who would be issued and allotted the shares of HDFC Bank, it added.
Besides, July 13 has been fixed for the continuation of warrants of HDFC Limited in the name of HDFC Bank.
The board has fixed July 12, 2023, for the transfer of non-convertible debentures while July 7 for the transfer of commercial papers of HDFC Ltd in the name of HDFC Bank.
