Financial behemoths HDFC Bank and HDFC Ltd come together

India's largest private sector bank - HDFC Bank, and largest housing finance company - HDFC (Housing Development Finance Corporation) have announced merging their operations. HDFC's board approved the scheme of amalgamation. Share prices of both the companies have jumped 10 per cent till now and may continue to grow. As of April 1, 2022 closing, the merged entity would have a total market capitalisation of Rs 12.8 lakh crore making it the third-largest listed entity behind Reliance Industries and Tata Consultancy Services. Here are some key points that investors of both companies must be aware of: The scheme of amalgamation may take upto 18 months to complete. Shareholders of HDFC Ltd will receive 42 fully paid-up equity shares for every 25 shares held by them. The equity shares that HDFC Ltd holds in HDFC Bank will be extinguished or cancelled as per the scheme. Post-merger, HDFC Bank will be completely owned by the public shareholders. The existing shareholders of HDFC Ltd will hold 41 per cent in