HDFC-HDFC Bank merger: LTIMindtree to enter Nifty50 in place of HDFC, JSPL to enter Nifty100

IT major LTI Mindtree Ltd will replace Housing Development Finance Corporation Ltd in Nifty50 index post due to the merger of the mortgage financier with HDFC Bank. These changes shall become effective from July 13, 2023 (close of July 12, 2023), said NSE on Tuesday. HDFC will be delisted on July 13 after the mega merger got announced on July 1.

Also, Jindal Steel & Power Ltd will replace HDFC Ltd in the Nifty100 index. Mankind Pharma, which got listed on the stock exchanges in May 2023, will replace HDFC Ltd in Nifty500 index on July 13, said NSE. LIC Housing Finance will replace HDFC Ltd in Nifty Financial Services Index. Mankind Pharma has also been included in Nifty Midcap150, Nifty Midcap100, Nifty200, and other indices. Zydus Lifesciences will replace Jindal Steel & Power in Nifty Midcap Select. Adani Group's Ambuja Cements Ltd will replace HDFC in Nifty High Beta50 index.

"The decision to replace HDFC with LTIMindtree was taken at a meeting of the Index Maintenance Sub-Committee (Equity) of NSE Indices on account of HDFC-HDFC Bank merger. These changes shall become effective from July 13, 2023 (close of July 12, 2023)," NSE said.

Preliminary calculations done by Nuvama show that the IT stock could see an inflow of approximately $150-160 million owing to its entry into Nifty50.

On Tuesday, LTI Mindtree's stock on BSE closed 0.6% higher at Rs 5,242 while HDFC's scrip on BSE closed 0.33% higher at Rs 2,880.80.

Every HDFC shareholder will get 42 shares of HDFC Bank for every 25 shares they hold.

The board of directors of HDFC Bank, in consultation with the board of directors of HDFC Limited, has fixed July 13, 2023, for determining the shareholders of HDFC Ltd, who would be issued and allotted the shares of HDFC Bank.

Besides, July 13 has been fixed for the continuation of warrants of HDFC Limited in the name of HDFC Bank.

The board has fixed July 12, 2023, for the transfer of non-convertible debentures while July 7 for the transfer of commercial papers of HDFC Ltd in the name of HDFC Bank.

Termed as the biggest transaction in India's corporate history, HDFC Bank on April 4 last year agreed to take over the biggest domestic mortgage lender in a deal valued at about $40 billion, creating a financial services titan. The proposed entity will have a combined asset base of around Rs 18 lakh crore.

Watch: Senco Gold IPO subscribed 45% today; star investor Prashant Jain picks up stake in anchor round, check GMP, should you apply?

Watch: AI images of Zomato delivery boys, agents dancing in the Mumbai rain generated using artificial intelligence tool midjourney

Watch: Kia Seltos Facelift in India; Panaromic roof, ADAS safety features, mileage other specifications, other key auto launches in 2023