Our history cannot be erased: Deepak Parekh writes to HDFC shareholders before ‘hanging boots’

If you’re a shareholder in what may cease to be the largest housing financier in the country as of Saturday (July 1st) – the Housing Development Finance Corporation or HDFC Ltd, and you got your eyes peeled while reading the letter from Deepak Parekh, the company’s chairman, you’re probably not alone. .

In his last contact with HDFC shareholders, Parekh thanked everyone who took part in this journey. “It is time to hang up my shoes with both anticipation and hope for the future. While this will be my last communication to HDFC shareholders, rest assured that we are now striding into a very exciting future of growth and prosperity,” he wrote in the five-page letter. She concluded with a very powerful message: “Our history cannot be erased and our legacy will live on.”

Parekh is proud of the fact that one of the most complex transactions and largest merger in the world in recent times moved according to schedules, and Parekh highlighted how transparency was maintained throughout the merger process.

Receptive to the obstacles encountered which are “par for the course in such transactions”, Parekh expressed his thanks for all the professional support he received on the trip. “Whenever and wherever we reached out for guidance, doors opened and help was immediately at hand.” And he is pleased to say that the firm has worked with perhaps the best legal teams in the country, chartered accountants, valuers, bankers, advisors and other subject matter professionals.

Smooth transition

An integration committee has been formed and over the next 10 months it will ensure a smooth transition. “The cross-functional teams work diligently to ensure that the implementation plan and strategic objectives are supported by the combined entity,” Parekh added.

Parekh never held the position of “promoter”, although the company was founded by his uncle, H.T. Parekh. Instead, he found joy and satisfaction when he called himself an employee and thus had a message for them as well. “Know that you will always carry the indelible ‘HDFC’ tag with you. This is the age of your new possibilities.”

Parekh is confident that HDFC will always have the distinction of being the institution that provided retail housing finance in the country. “No institution in India has the richness of 46 years of understanding the needs of a home loan customer.” With HDFC Bank’s extensive distribution network, it assures that it will be better harnessed for both home loans and group companies.

But there is a note of caution. “The biggest risk organizations face today is remaining in the status quo, believing that what worked yesterday will continue into the future.” He is equally aware that with change comes the power of adaptability, growth, and new aspirations. “Coordinating this consolidation is to ensure that none of our stakeholders constrain the future.”

Thus, the bar is set high for HDFC Bank. Parekh believes that “…the leadership team will usher in an era of new opportunities for the combined entity.” The bank is set to assume its outsize size from Saturday to replace the HDFC Deans who have held the fort for more than 30 years. Can you satisfy all stakeholders?