Today is the last day for trading in HDFC shares.
HDFC expanded its business extensively by venturing out of the retail home loan segment. The company was founded by HT Parikh and his nephew Deepak Parikh. In the year 1995, the company entered the banking sector with HDFC Bank. Today it is included in the top five banks of the country. It has 7,280 branches across the country. HDFC’s IPO may have received a lukewarm response, but in 1995, HDFC Bank’s issue was lapped up by investors. It was subscribed 53 times. Its price in 1995 was Rs 4, which has reached Rs 1648.3 today. JPMorgan estimates that its price could reach Rs 2,000 in the short term.
Nifty’s new Bahubali
Now HDFC is merged with HDFC Bank. With this, HDFC Bank has become the fourth largest bank in the world by market cap. The $40 billion merger became effective from July 1. The company has fixed July 13 as the record date. That is, today is the last day of trading of HDFC shares. With the reverse merger of HDFC Bank and HDFC, HDFC Bank has become the new Bahubali of Nifty. The bank’s weightage in the index has exceeded that of Mukesh Ambani’s Reliance Industries. Trading in HDFC shares will cease on the stock exchange on July 13. After the merger, the weightage of HDFC Bank will increase to 14.43%. At present, the weightage of Reliance on Nifty is 10.9 per cent, which will come down to 10.8 per cent.