HDFC Bank MD Jagdishan unapologetic about the decision to proceed with the merger

The $40-billion all-stock deal, which saw HDFC Bank acquire its parent company, the largest pure-play mortgage lender, has created a financial powerhouse with combined assets exceeding ₹18 lakh crore.

On the merger between HDFC Bank and HDFC Ltd., the bank’s managing director and chief executive officer (MD and CEO) Sashidhar Jagdishan said that he is not apologetic about the decision to go for the merger. “Not apologetic about the decision to go for the merger,” Jagdishan said at the bank’s annual general meeting (AGM).

In addition, Atanu Chakraborty, Chairman of HDFC Bank, said the merger has not only strengthened the bank's pathways for future growth but has also transformed it into a financial services conglomerate.

He characterized the merger between HDFC and HDFC Bank as one of the most significant and intricate deals in corporate India’s history. Chakraborty highlighted that the merger has not only fortified the bank's growth prospects but also transformed it into a leading financial services conglomerate.

Chakraborty noted that the successful integration of HDFC has markedly improved HDFC Bank’s capacity to serve its current customers and attract new ones.

In addition, he addressed concerns about global monetary policy adjustments aimed at curbing inflation, which may affect both domestic and international capital flows. Chakraborty assured that HDFC Bank is vigilant about the risks associated with these economic shifts.

The merger, finalized on April 4, 2022, is considered the largest transaction in the history of Indian corporations. The $40-billion all-stock deal, which saw HDFC Bank acquire its parent company, the largest pure-play mortgage lender, has created a financial powerhouse with combined assets exceeding Rs 18 lakh crore.

Shares of HDFC Bank Ltd ended at Rs 1,649.50, up by Rs 7.40, or 0.45%, on the BSE.