Big news! IDFC First Bank and IDFC are joining together, and the Reserve Bank of India (RBI) said it’s okay.
As per the details shared with the stock market, the bank got permission to join with another bank from RBI on December 18.
Before that, the Competition Commission of India also agreed to this joining.
Who will get how many shares
As per CCI, in this joining of IDFC and IDFC First Bank, they decided to exchange 155 shares of IDFC Bank for every 100 shares of IDFC.
IDFC will then have a total stake of 39.93 percent in IDFC First Bank. IDFC Limited had things like money and properties worth Rs 2.4 lakh crore with IDFC Financial Holding until March 2023.
Also, the bank made a total profit of Rs 2,437.13 crore in the financial year 2023, and its total sales were Rs 27,194.51 crore.
Decline in shares
After hearing that RBI approved the joining of IDFC and IDFC Bank, there was big news about IDFC Bank shares.
On Monday, the shares closed at 89.74, going down a bit by 0.27 percent. In comparison, BSE Sensex also saw a small drop of 0.24 percent during the same time.
This is the second largest merger deal after HDFC Bank
IDFC-IDFC Bank coming together is the second-biggest deal this year, following the HDFC Bank merger.
Besides the approval from the Reserve Bank, we need approval from other important places like CCI, NCLT, BSE, NSE, and many other rule-setting groups for the bank to join.
In this merging, IDFC First Bank, IDFC Limited, and IDFC FHCL are becoming one. Back in 2018, IDFC Bank and Capital First joined up to create IDFC First Bank.
