IDFC FIRST Bank announces completion of merger with IDFC

IDFC First Bank on Friday announced the completion of merger of IDFC Limited with the bank.

This follows the receipt of all requisite shareholder and regulatory approvals, the bank said in a statement.

The merger is effective from October 1, 2024, it added.

As a result of the merger, it said, 155 equity shares of the bank will be allotted for every 100 equity shares of IDFC Limited held by such shareholder in IDFC Limited as on the Record Date i.e., October 10, 2024.

The shares are expected to be credited to shareholders of IDFC Limited on or before October 31, 2024, subject to regulatory processes and clearances, it said.

Post the amalgamation, there will be a simplified corporate structure at the Bank with no holding company, it said.

"The shareholding structure will be like other leading institutional Indian private sector banks with no promoter holding. The bank will continue to be professionally managed institution," it said.

As part of the merger, it said, about Rs 600 crore of cash and cash equivalents will flow to the bank.

Speaking about the merger, V Vaidyanathan, MD & CEO, IDFC FIRST Bank Limited, said: "The announcement of merger today between IDFC First bank and IDFC Ltd brings closure to the intense work over the last 2 years.

IDFC FIRST Bank will now have a simplified corporate structure with no promoter holding, he said.