Sensex Hits 65000-Mark In Early Trade; Nifty At New All-Time High Of 19200

Sensex hits 65,000-mark in early trade; Nifty at new all-time high of 19,200
 

from NDTV Profit-Latest https://ift.tt/MgJGrB8
via

"Aim To Double Every Four Years": HDFC Bank Managing Director After Merger

Having successfully executed the merger with parent HDFC, HDFC Bank's managing director and chief executive, Sashidhar Jagdishan, said on Saturday that the country's largest lender aims to double every four years.

In a letter to the over 4,000 employees from HDFC who joined the bank's rolls on Saturday, Jagdishan said the future is bright and the work on realising the potential of the merger starts now.

"The runway for financial services and mortgages, which are so underserved and under-penetrated, is going to be very large. HDFC Bank, the combined entity, with a large and growing distribution and customer franchise, more than adequate capital, healthy asset quality, and profitability, will be best positioned to capture growth. At the pace at which we aim to grow, we could be creating a new HDFC Bank every 4 years," he said.

HDFC Bank began the day after the merger with a rebranding exercise, wherein it is putting up its colours at all the over 500 branches and offices of HDFC Ltd.

The erstwhile HDFC's corporate headquarters at Ramon House already sports the HDFC Bank branding, and officials estimated that the entire exercise will be over in the next 24 hours.

It can be noted that dedicated teams have been put in place to make the merger as seamless as possible, right since its announcement on April 4 last year. As part of the USD 40 billion all-share deal, the biggest in Indian corporate history, HDFC Bank committed to absorb all the over 4,000 employees of its parent.

"Our work starts today, in realising the potential of what this merger holds for us," Jagdishan wrote.

To realise its growth aims, Jagdishan said the bank will be adding about 1,500 branches every year for some years to better serve the middle class and upper segment of the country.

It will continue investments on the digital front as well, which, Jagdishan said, will make HDFC Bank a 'technology company into banking", and added that the same will get unveiled over the next three years.

The bank will be assessing its people on the basis of how they conduct governance and compliance, teamwork, and their ability to delight customers, he said.

The canvas being offered to the HDFC Ltd employees is large, both professionally and personally, the email said, adding that an external expert was appointed to arrive at the right formula for inducting people into the bank and deciding their role in the hierarchy.

Jagdishan said the cost-to-revenue ratio of HDFC at 0.04 percent was the lowest for any mortgage company in the world, and thanked its leadership, including Deepak Parekh, Keki Mistry, and Renu Karnad, for creating such an institution.

He said that from a customer perspective, the home loan is a very emotional product that establishes a great bond between the financier and borrower, and he added that HDFC Bank would like to harness the same bond.

"The penetration levels of the home loan product in its (HDFC Bank's) customer base and the extent to which the distribution has been leveraged are quite low. This is an opportunity! The runway for growth is going to be large for a long time to come," Jagdishan said.

HDFC Bank will move from a sales management model to a relationship management model because of the opportunity to cross-sell that exists within the franchise after the addition of mortgage finance, insurance, and asset management subsidiaries, Jagdishan said.

"The velocity of product sales and the reduced touch points to serve the customer will be a game changer with this 'power of bundling'," he added.

HDFC Ltd, the parent of the country's largest private sector lender, merged into HDFC Bank on Saturday, with the boards of both entities clearing the plan first presented on April 4 last year. HDFC Ltd, the largest pure-play home financier, ceases to exist 44 years after it was founded.

The USD 40-billion merger, the largest such deal in Indian corporate history, was driven by a changing regulatory landscape, which limited the advantages of HDFC continuing as a non-bank lending entity.

Post-merger, HDFC Bank will become the fourth most valued lender in the world, and narrow the gap by asset size with state-owned SBI to become the second-largest Indian bank.

The total business of the merged entity stood at Rs 41 lakh crore at the end of March 2023. With the merger, the net worth of the entity would be over Rs 4.14 lakh crore.

The combined profit of both entities was to the tune of about Rs 60,000 crore at the end of March 2023.

With the deal becoming effective, HDFC Bank will be 100 percent owned by public shareholders, and existing shareholders of HDFC will own 41 percent of the bank. 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, it added.

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

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

The merged entity brings together significant complementarities that exist between both entities and is poised to create meaningful value for various stakeholders, including respective customers, employees, and shareholders of both entities, through increased scale, a comprehensive product offering, balance sheet resiliency, and the ability to drive synergies across revenue opportunities, operating efficiencies, and underwriting efficiencies, a statement said.

(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)

from NDTV Profit-Latest https://ift.tt/KmyfBjz
via

"Aim To Double Every Four Years": HDFC Bank Managing Director After Merger

Having successfully executed the merger with parent HDFC, HDFC Bank's managing director and chief executive, Sashidhar Jagdishan, said on Saturday that the country's largest lender aims to double every four years.

In a letter to the over 4,000 employees from HDFC who joined the bank's rolls on Saturday, Jagdishan said the future is bright and the work on realising the potential of the merger starts now.

"The runway for financial services and mortgages, which are so underserved and under-penetrated, is going to be very large. HDFC Bank, the combined entity, with a large and growing distribution and customer franchise, more than adequate capital, healthy asset quality, and profitability, will be best positioned to capture growth. At the pace at which we aim to grow, we could be creating a new HDFC Bank every 4 years," he said.

HDFC Bank began the day after the merger with a rebranding exercise, wherein it is putting up its colours at all the over 500 branches and offices of HDFC Ltd.

The erstwhile HDFC's corporate headquarters at Ramon House already sports the HDFC Bank branding, and officials estimated that the entire exercise will be over in the next 24 hours.

It can be noted that dedicated teams have been put in place to make the merger as seamless as possible, right since its announcement on April 4 last year. As part of the USD 40 billion all-share deal, the biggest in Indian corporate history, HDFC Bank committed to absorb all the over 4,000 employees of its parent.

"Our work starts today, in realising the potential of what this merger holds for us," Jagdishan wrote.

To realise its growth aims, Jagdishan said the bank will be adding about 1,500 branches every year for some years to better serve the middle class and upper segment of the country.

It will continue investments on the digital front as well, which, Jagdishan said, will make HDFC Bank a 'technology company into banking", and added that the same will get unveiled over the next three years.

The bank will be assessing its people on the basis of how they conduct governance and compliance, teamwork, and their ability to delight customers, he said.

The canvas being offered to the HDFC Ltd employees is large, both professionally and personally, the email said, adding that an external expert was appointed to arrive at the right formula for inducting people into the bank and deciding their role in the hierarchy.

Jagdishan said the cost-to-revenue ratio of HDFC at 0.04 percent was the lowest for any mortgage company in the world, and thanked its leadership, including Deepak Parekh, Keki Mistry, and Renu Karnad, for creating such an institution.

He said that from a customer perspective, the home loan is a very emotional product that establishes a great bond between the financier and borrower, and he added that HDFC Bank would like to harness the same bond.

"The penetration levels of the home loan product in its (HDFC Bank's) customer base and the extent to which the distribution has been leveraged are quite low. This is an opportunity! The runway for growth is going to be large for a long time to come," Jagdishan said.

HDFC Bank will move from a sales management model to a relationship management model because of the opportunity to cross-sell that exists within the franchise after the addition of mortgage finance, insurance, and asset management subsidiaries, Jagdishan said.

"The velocity of product sales and the reduced touch points to serve the customer will be a game changer with this 'power of bundling'," he added.

HDFC Ltd, the parent of the country's largest private sector lender, merged into HDFC Bank on Saturday, with the boards of both entities clearing the plan first presented on April 4 last year. HDFC Ltd, the largest pure-play home financier, ceases to exist 44 years after it was founded.

The USD 40-billion merger, the largest such deal in Indian corporate history, was driven by a changing regulatory landscape, which limited the advantages of HDFC continuing as a non-bank lending entity.

Post-merger, HDFC Bank will become the fourth most valued lender in the world, and narrow the gap by asset size with state-owned SBI to become the second-largest Indian bank.

The total business of the merged entity stood at Rs 41 lakh crore at the end of March 2023. With the merger, the net worth of the entity would be over Rs 4.14 lakh crore.

The combined profit of both entities was to the tune of about Rs 60,000 crore at the end of March 2023.

With the deal becoming effective, HDFC Bank will be 100 percent owned by public shareholders, and existing shareholders of HDFC will own 41 percent of the bank. 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, it added.

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

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

The merged entity brings together significant complementarities that exist between both entities and is poised to create meaningful value for various stakeholders, including respective customers, employees, and shareholders of both entities, through increased scale, a comprehensive product offering, balance sheet resiliency, and the ability to drive synergies across revenue opportunities, operating efficiencies, and underwriting efficiencies, a statement said.

(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)

from NDTV Profit-Latest https://ift.tt/KmyfBjz
via

Jet Fuel Price Rises 1.6% To Rs 90779.88 Per Kilolitre On Global Cues

Jet fuel or ATF price was today hiked by 1.65 per cent - the first increase in rate after fourth months of reduction warranted by softening oil prices.

Aviation Turbine Fuel (ATF) price was increased by Rs 1,476.79 per kilolitre, or 1.65 per cent, in the national capital to Rs 90,779.88 per kl, according to a price notification of state-owned fuel retailers.

Rates, which vary from state to state depending on incidence of local sales tax or VAT, have been increased on firming up of global rates that followed four months of decline.

Jet fuel prices had been cut on previous four monthly revisions that happen on the first of every month. ATF prices were last reduced by Rs 6,632.25 per kl on June 1.

Prices of commercial LPG, used in establishments such as hotels and restaurants, remained unchanged in Delhi but were marginally increased in Mumbai, Kolkata and Chennai.

While the price of a 19-kg commercial LPG cylinder was unchanged at Rs 1,773 in the national capital, the rate went up by Rs 8.50 per cylinder to Rs 1,733.50 in Mumbai.

The price was increased by Rs 20 per cylinder to Rs 1,895 in Kolkata and by Rs 8 to Rs 1,945 per 19-kg cylinder in Chennai. The rate change was primarily because of local incidence of taxes and transportation, industry officials said.

Commercial LPG rates were cut on three previous monthly revisions. In three cuts, prices had gone down by Rs 346.5 per 19-kg cylinder. The price of domestic LPG -- used in the kitchen for cooking purposes -- remained unchanged at Rs 1,103 per 14.2-kg cylinder in the national capital.

Domestic LPG rates were last changed on March 1, when they were hiked by Rs 50 per cylinder. State-owned Indian Oil Corporation (IOC), Bharat Petroleum Corporation Ltd (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL) revise cooking gas and ATF prices on the 1st of every month based on the average international price in the previous month.

Petrol and diesel prices continued to remain on freeze for a record 15th month in a row. Petrol costs Rs 96.72 per litre in the national capital and diesel comes for Rs 89.62.

State-owned fuel retailers are supposed to revise petrol and diesel prices daily based on a 15-day rolling average of benchmark international fuel prices but they haven't done that since April 6, 2022.

Prices were last changed on May 22, when the government cut excise duty to give relief to consumers from a spike in retail rates that followed a surge in international oil prices.
 

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

from NDTV Profit-Latest https://ift.tt/jZRQDVy
via

Jet Fuel Price Rises 1.6% To Rs 90779.88 Per Kilolitre On Global Cues

Jet fuel or ATF price was today hiked by 1.65 per cent - the first increase in rate after fourth months of reduction warranted by softening oil prices.

Aviation Turbine Fuel (ATF) price was increased by Rs 1,476.79 per kilolitre, or 1.65 per cent, in the national capital to Rs 90,779.88 per kl, according to a price notification of state-owned fuel retailers.

Rates, which vary from state to state depending on incidence of local sales tax or VAT, have been increased on firming up of global rates that followed four months of decline.

Jet fuel prices had been cut on previous four monthly revisions that happen on the first of every month. ATF prices were last reduced by Rs 6,632.25 per kl on June 1.

Prices of commercial LPG, used in establishments such as hotels and restaurants, remained unchanged in Delhi but were marginally increased in Mumbai, Kolkata and Chennai.

While the price of a 19-kg commercial LPG cylinder was unchanged at Rs 1,773 in the national capital, the rate went up by Rs 8.50 per cylinder to Rs 1,733.50 in Mumbai.

The price was increased by Rs 20 per cylinder to Rs 1,895 in Kolkata and by Rs 8 to Rs 1,945 per 19-kg cylinder in Chennai. The rate change was primarily because of local incidence of taxes and transportation, industry officials said.

Commercial LPG rates were cut on three previous monthly revisions. In three cuts, prices had gone down by Rs 346.5 per 19-kg cylinder. The price of domestic LPG -- used in the kitchen for cooking purposes -- remained unchanged at Rs 1,103 per 14.2-kg cylinder in the national capital.

Domestic LPG rates were last changed on March 1, when they were hiked by Rs 50 per cylinder. State-owned Indian Oil Corporation (IOC), Bharat Petroleum Corporation Ltd (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL) revise cooking gas and ATF prices on the 1st of every month based on the average international price in the previous month.

Petrol and diesel prices continued to remain on freeze for a record 15th month in a row. Petrol costs Rs 96.72 per litre in the national capital and diesel comes for Rs 89.62.

State-owned fuel retailers are supposed to revise petrol and diesel prices daily based on a 15-day rolling average of benchmark international fuel prices but they haven't done that since April 6, 2022.

Prices were last changed on May 22, when the government cut excise duty to give relief to consumers from a spike in retail rates that followed a surge in international oil prices.
 

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

from NDTV Profit-Latest https://ift.tt/jZRQDVy
via

Economy Has Moved Away From Twin-Balance Sheet Problem: Finance Minister

Finance Minister Nirmala Sitharaman said today that the Indian economy has moved away from the twin-balance sheet problem of banks and corporates to twin-balance sheet advantage because of the concerted efforts of the Narendra Modi government.

Profit of public sector banks increased to Rs 1.04 lakh crore in 2022-23, tripling from what it was in 2014, the minister said while inaugurating the corporate office of Punjab & Sind Bank.

The twin-balance sheet problem refers to deterioration in financial health of banks and corporates at the same time.

"As a result (of various initiatives of the government) I'm glad to say the problems of twin-balance sheets have gone away like the Reserve Bank observing it is a twin-balance sheet advantage that the Indian economy is benefiting from,", Ms Sitharaman said.

The minister said the term twin-balance sheet was heard after a long time and according to the Reserve Bank, the Indian economy is now benefiting from the twin-balance sheet advantage.

She said performance of public sector banks have improved on account of various initiatives taken by the Modi government since 2014.

There was an improvement in all critical parameters like return on asset, net interest margin and provisioning coverage ratio, she added.
 

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

from NDTV Profit-Latest https://ift.tt/N8XiLMO
via

Economy Has Moved Away From Twin-Balance Sheet Problem: Finance Minister

Finance Minister Nirmala Sitharaman said today that the Indian economy has moved away from the twin-balance sheet problem of banks and corporates to twin-balance sheet advantage because of the concerted efforts of the Narendra Modi government.

Profit of public sector banks increased to Rs 1.04 lakh crore in 2022-23, tripling from what it was in 2014, the minister said while inaugurating the corporate office of Punjab & Sind Bank.

The twin-balance sheet problem refers to deterioration in financial health of banks and corporates at the same time.

"As a result (of various initiatives of the government) I'm glad to say the problems of twin-balance sheets have gone away like the Reserve Bank observing it is a twin-balance sheet advantage that the Indian economy is benefiting from,", Ms Sitharaman said.

The minister said the term twin-balance sheet was heard after a long time and according to the Reserve Bank, the Indian economy is now benefiting from the twin-balance sheet advantage.

She said performance of public sector banks have improved on account of various initiatives taken by the Modi government since 2014.

There was an improvement in all critical parameters like return on asset, net interest margin and provisioning coverage ratio, she added.
 

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

from NDTV Profit-Latest https://ift.tt/N8XiLMO
via