HDFC Bank Share Price Movement Today, Delighted Investors, Shareholders

    HDFC Bank share price surged 15% and this has delighted the investors, stock market and its shareholders. This happened as soon as the bank has approved merger with HDFC Investments Limited and HDFC Holdings Limited.

    Post-merger HDFC Limited will hold 41% stake in HDFC Bank. This shall enable the bank to build its housing loan portfolio and enhance its existing customer base. HDFC Bank shares jumped as much as 14.4%, while HDFC Ltd surged 19.6% after the merger announcement.

    As part of the deal announced, shareholders of HDFC Ltd will receive 42 shares of the bank for 25 shares held. Existing shareholders of HDFC Ltd will own 41% of HDFC Bank, the combined entity, which will become a full-fledged public company as the housing finance company’s stake in the lender will be cancelled in the deal.

    HDFC Share Price Likely to Move Further

    “We expect HDFC Bank’s margin trajectory to recover gradually over FY23, while the uptick in Retail loan growth and unsecured products will be supportive of fee income. Trend in Retail deposit too remains healthy, with the bank witnessing a sequential improvement in its CASA ratio to 48%,” said brokerage house Motilal Oswal. It has maintained its Buy rating on bank stock with a target price of ₹2, 000 per share.

    The companies expect the deal to be completed in the second or third quarter of the financial year starting in April 2023.


    Latest Updates

    Related Articles

    Vizag Tech Summit 2023 Investor Road Show in Orrisa a Big Hit

    Bhubaneswar hosted the Vizag Tech Summit 2023 investor-industry road show on December 1-3 drew...

    Messi’s Argentina vs Australia: FIFA World Cup Elimination Round Hots Up

    FIFA World Cup 2022 Elimination round makes a huge start with Argentina vs Australia...

    VLSI 2023 Attracts 2000+ Global Delegates, Grants 150+ Fellowships

    The 36th International Conference of VLSI 2023 Design and the 22nd International Conference on...

    AAP’s Vijay Nair got Rs 100-crore kickbacks: ED to court

    AAP communication in-charge Vijay Nair " got Rs. 100 Cr as kickbacks on behalf...