0

0

0

0

0

0

0

0

0

IDFC locked in 10% upper circuit; IDFC FIRST Bank favours merger with promoter entities

Mini

IDFC Ltd share price: Shares of IDFC Ltd jumped 10 percent on Friday after the Board of Directors of IDFC FIRST Bank gave in‐principle approval for the merger of IDFC Ltd and IDFC Financial Holding Company Ltd with IDFC FIRST Bank.

IDFC locked in 10% upper circuit; IDFC FIRST Bank favours merger with promoter entities
Shares of IDFC Ltd jumped 10 percent on Friday after the Board of Directors of IDFC FIRST Bank gave in‐principle approval for the merger of IDFC Ltd and IDFC Financial Holding Company Ltd with IDFC FIRST Bank.
The stock was locked in its 10 percent upper circuit limit at Rs 61.2 on BSE.
"Accordingly, the Boards of Directors of IDFC and IDFC FHCL at their respective meetings held today i.e. December 30, 2021, have considered and noted the same and have decided to give “in‐principle” approval for the proposed merger. The Boards of IDFC and IDFC FHCL have
constituted and authorized a committee namely ‘Corporate Restructuring Committee’, to work on the terms of proposed merger including finalizing the scheme, valuation, hiring advisors etc. as may be required,” IDFC Ltd said in an exchange filing.
Also Read |
IDFC Ltd, as the promoter, was required to hold 40 percent for five years from the date of the bank’s commencement of operations. This five-year period ended on September 30 last year.
In July 2021, the Reserve Bank of India said IDFC Ltd could now exit as the promoter of IDFC FIRST Bank.
IDFC shares are trading higher than 5, 20, 50, 100 and 200 day moving averages indicating a bullish momentum in the stock.
Year-to-date, the stock has gained 62 percent as compared to Nifty500's 30 percent surge during the same period.
next story