Change in control of HDFC AMC got final Sebi approval: HDFC Bank

HDFC Bank said on Wednesday that the markets regulator, the Securities and Exchange Board of India (Sebi), has given its final approval to the proposed change in control of HDFC AMC.

This approval will help pave the way for the consolidation of HDFC into HDFC Bank, which is expected to be completed by the third quarter of the next fiscal year.

Through its letter dated 10 May 2023 HDFC Asset Management Company Limited, a subsidiary of HDFC Ltd and the investment manager of HDFC AMC AIF II, has given its final approval to the proposed change in control of HDFC AMC, the private lender in a securities depository, said.

“SEBI has advised HDFC AMC to ensure compliance with all other provisions of the SEBI (Alternative Investment Fund) Regulations 2012 and circulars issued thereunder,” it added.

HDFC Bank, billed as the largest deal in India’s corporate history, on April 4 last year agreed to acquire the largest domestic mortgage lender in a deal worth around US$40 billion, creating a financial services giant.

The proposed entity will have a combined asset base of around Rs. 18 crore.

Once the transaction becomes effective, HDFC Bank will be 100 percent owned by the public shareholders, and existing HDFC shareholders will own 41 percent of the bank.

Each HDFC shareholder will receive 42 HDFC Bank shares for every 25 shares they hold.

(Only the title and image for this report may have been reworked by the Business Standard staff; the rest of the content is generated automatically from a shared feed.)

First published: May 10, 2023 | 11:39 p.m ist