HDFC Bank’s shares open at Rs 1,655 apiece on first day of trading post merger

HDFC Ltd had a market capitalisation of Rs 5.05 lakh crore while HDFC Bank’s reported a valuation of Rs 9.13 lakh crore on Wednesday.

The merger of HDFC Ltd and HDFC Bank came into effect from July 1 and the record date for determining the shareholders of HDFC Ltd who would be allotted the shares of HDFC Bank is July 13. HDFC Ltd’s shares ceased to exist from July 12, ending its 45-year long journey on the bourses.

On Wednesday, shares of HDFC Ltd closed at Rs 2,729.95 apiece, down 0.62 per cent, or Rs 17.05, on the BSE. HDFC Bank’s stock settled at Rs 1,633 apiece, down 0.95 per cent, or Rs 15.65.

“The merged entity will command a very high float because promoter’s holding in the merged HDFC Bank will be zero. It will command a weight as high as 14.2 per cent in Nifty 50,” said Sriram Velayudhan, Head of Alternative Research, IIFL Securities.

The new HDFC Bank will surpass Reliance Industries Ltd in terms of weightage in Nifty, he said.

HDFC Bank’s weightage in Nifty Bank Index has increased to 29.1 from 26.9 earlier, according to Abhilash Pagaria, Head, Nuvama Alternative & Quantitative research.

Meanwhile, the BSE Sensex opened 0.41 per cent up at 65,667.38 and the broader NSE Nifty rose 0.57 per cent to open at 19,495.2.