HDFC Limited to merge with HDFC Bank

Mortgage lender HDFC Limited and its banking arm, HDFC Bank have announced merger, making it the biggest merger in the Indian corporate history.
HDFC Ltd with total assets under management of Rs 5.26 lakh crore and a market cap of Rs 4.85 lakh crore will get merged with HDFC Bank having a market cap of Rs 9.17 lakh crore.
The merger will take around 12 to 18 months to come into effect as the proposal needs to be approved by a number of regulators.
The combined balance sheet of merged entity will be Rs 17.87 lakh crore and a net worth of Rs 3.3 lakh crore.
The market-cap of the merged entity will be approx Rs 14 lakh crore (twice the size of ICICI Bank), making it India’s second-biggest entity in terms of market capitalisation, after Reliance Industries Ltd (Rs 18.01 lakh crore).

Key Points to Remember from merger:

Post merger, HDFC Bank will be 100 percent owned by public shareholders.
HDFC Ltd will no more have shareholding in HDFC Bank.
Existing shareholders of HDFC Limited will own 41% of HDFC Bank.
These shareholders will receive 42 shares of HDFC Bank for 25 shares of HDFC Limited.
The subsidiary or associates of HDFC Limited will also be transferred to HDFC Bank.
Currently HDFC Ltd, along with two of its wholly-owned subsidiaries (HDFC Investments Ltd and HDFC Holdings Ltd), holds 21 percent of the paid-up equity share capital of HDFC Bank.

Points to Remember:

What shall be the approx market-cap of the merged HDFC-HDFC Bank entity? 14 lakh cr
The merged entity will become India’s ________ largest entity in terms of market-cap
The merged entity will surpass which company to become second largest company? TCS