www.businesstoday.in Open in urlscan Pro
2600:141b:13::17d7:8288 Public Scan

Back to summary

Submitted URL:
https://yqghj1qc.r.us-east-1.awstrack.me/L0/https://www.businesstoday.in/latest/corporate/story/it-is-time-to-hang-my-boots-hdfc-chairman...
Effective URL:
https://www.businesstoday.in/latest/corporate/story/it-is-time-to-hang-my-boots-hdfc-chairman-deepak-parekh-a-day-ahead-of-li...
Submission: On July 13 via api (July 13th 2023, 10:33:59 am UTC) from IN — Scanned from US

Form analysis
0 forms found in the DOM

Text Content

* Business Today
* BT Bazaar
* India Today
* India Today NE
* Web3Cafe
* DailyO
* India Today Gaming
* Cosmopolitan
* Harper's Bazaar
* Brides Today
* Ishq FM
* Aaj Tak
* GNTTV
* iChowk
* Kisan Tak

* Lallantop
* Malyalam
* Bangla
* Sports Tak
* Crime Tak
* Aajtak Campus
* Astro tak

Magazine
Clear all

Clear all

STOCK ANALYSIS

MOST READ

* HDFC Bank to sell 2% stake in NSDL IPO; lender to announce Q1 results on July
17

MOST READ

* 'The rewards were far from realistic,' say netizens amid buzz of devaluation
of Axis Magnus credit card

MOST READ

* IDBI Bank, Hindustan Zinc, Ashok Leyland: How should you trade these buzzing
stocks?

TRENDING

* Senco Gold IPO allotment: Check application status and grey market premium

TRENDING

* Higher Pension from EPFO: List of documents needed to apply for higher EPS as
deadline ends tomorrow

TRENDING

* Eicher Motors shares down 13% in 5 days; tech charts indicate weakness may
persist

TRENDING

Visit: www.businesstoday.in/contest/termsandconditions

"It is my time to hang my boots with both anticipation and hope for the future.
While this will be my last communication to shareholders of HDFC, rest assured
we now stride tall into a very exciting future of growth and prosperity. The
HDFC experience is invaluable. Our history cannot be erased and our legacy will
be taken forward," he said.

Talking about home loans offered by HDFC, Parekh said: "No doubt, the housing
finance industry is a competitive one today. Yet, HDFC will always have the
distinction of being the institution that introduced retail housing finance to
the country. Over the years, we have, in no small measure, helped chart the
course for housing finance to be recognised as an integral part of development
of the country.
HDFC home loans is an invaluable intangible."

He further added: "For HDFC Bank, a home loan customer marks the beginning of a
journey of having a customer in perpetuity. HDFC Bank is excited at the prospect
of cross-selling an array of asset and liability products to home loan
customers. This will be done seamlessly on their digitalisation platforms – all
through a one-click experience."

Here's the full text of the letter:

Dear Shareholders,

When I wrote to you last year, we had just commenced our journey of working
towards the merger of HDFC and HDFC Bank. Financial year 2023 marked a year of
many happenings.We have been working relentlessly on the merger, whilst
continuing to focus on ‘business as usual in a global macro-economic environment
that has been exceptionally volatile.

The optimism on India continues with renewed vigour. The country has
demonstrated resilience with its broad-based recovery. India’s position has been
further strengthened with cyclical and structural tailwinds.

The country’s GDP growth rate is likely to be more than double that of global
growth. We are extremely confident that the runway for housing finance in India
will remain immense for several years to come.

During the year, we have made substantial progress on the merger. Personally, if
I were to summarise the year in one word, it would be ‘gratitude’.
When we announced the merger, we knew we had hard deadlines to meet and a maze
of complex transactions to navigate through. Being one of the world’s largest
merger announcements in recent times, each milestone has been closely followed
by all stakeholders. We have been unwavering in our commitment to being
transparent throughout this process and have engaged deeply with our
stakeholders to keep them abreast of the progress of the merger.

Working on a merger of this scale has been challenging and rewarding.
Encountering hurdles is par for the course in such transactions. Yet, what
amazed us the most has been the immense goodwill and strong relationships that
HDFC as a group has. Whenever and wherever we reached out for guidance, doors
opened and help was at hand instantly. We have worked with possibly the
country’s best legal teams, chartered accountants, valuers, bankers, advisors,
and other specialised professionals. The collective knowledge and experience of
all these parties is unparalleled.

The approvals by the Competition Commission of India, the National Company Law
Tribunal, the shareholders, and the regulators were important merger milestones.
In all our dealings pertaining to the merger, the HDFC group has been treated in
a fair and just manner. We stand committed to adhering to the prerequisites as
stipulated by the regulators, respecting the fact that these decisions are made
keeping in mind the best interests of the Indian financial ecosystem.

As we approach the tail end of the merger process, the effectiveness of the
preparatory work undertaken will be tested. For over ten months, the Integration
Committee has been labouring on ensuring a seamless transition. This is a
painstaking exercise given the many moving parts of this complex merger.
Cross-functional teams are hard at work to ensure that the execution plan and
strategic objectives are upheld in the merged entity.

Working towards the common goal of executing the merger has helped both sides
get to know each other better. It has been a phase of working jointly to tackle
issues on hand, but more importantly, it has enabled HDFC Bank to have a deeper
understanding of the underlying dynamics of the home loan business.

Over the course of the year, both HDFC and HDFC Bank have gone to great lengths
to explain the rationale of the merger, which has been well received by our
stakeholders. An oft-repeated question is what happens to the culture of HDFC?
My answer to this is that mergers are inherently about change. The work culture
will be an amalgamation of the best of both organisations. Culture at the
workplace is always a shared responsibility. It needs daily reinforcement
through the demonstration effect with the tone set at the top. What remains
steadfast is the underlying ethics and value systems of both entities.

The confidence I derive is the agreed tenet of this integration --preservingthe
fabric of the ‘HDFC way of working'. This has also been publicly articulated by
the leadership at HDFC Bank.

No institution in India has the richness of 46 years of understanding the needs
of a home loan customer. Home loans are always different from other financial
products. It is the single largest investment a person makes in his or her
lifetime. Home loans as a financial product evokes a strong emotional quotient.

No doubt, the housing finance industry is a competitive one today. Yet, HDFC
will always have the distinction of being the institution that introduced retail
housing finance to the country. Over the years, we have, in no small measure,
helped chart the course for housing finance to be recognised as an integral part
of development of the country.

‘HDFC home loans’ is an invaluable intangible. Since its inception, HDFC has
been committed to building a customer-centric organisation. We pride ourselves
on our deep expertise in understanding real estate markets at the micro level,
the relationships we have nurtured with developers and our ability to provide
value-added services such as legal and technical appraisals in-house.

Our experience has taught us that every home loan customer has their own story
and it is the empathy factor that is the key differentiator between housing
finance providers. Dealing with home loan customers requires immense patience.
It is about understanding the needs and feelings of a home loan customer,
assuaging their anxiety during this complex transaction, customising solutions,
explaining financial implications of a mortgage product and lending responsibly
to ensure a customer is not over stretched.
Home loans will now be complemented by HDFC Bank’s core strengths -- its sales
engine, execution capabilities at scale and deep insights into consumer
behaviour.

For HDFC Bank, a home loan customer marks the beginning of a journey of having a
customer in perpetuity. HDFC Bank is excited at the prospect of cross-selling an
array of asset and liability products to home loan customers. This will be done
seamlessly on their digitalisation platforms – all through a one-click
experience.

HDFC Bank’s vast distribution network will be better harnessed for both home
loans and the group companies. As a natural progression, the synergies between
HDFC Bank and the group companies will deepen with HDFC Bank taking on the
mantle of ownership.

What the future holds, only time will tell. The biggest risk organisations face
today is staying with the status quo, believing what worked well yesterday will
continue in the future. Change takes courage as it displaces one from the cocoon
of comfort and familiarity. Yet, with change comes the power of adaptability,
growth and new aspirations. The orchestration of this merger is to ensure that
the future is not constrained for any of our stakeholders.
As HDFC hands the baton, my wish is that our core founding values of kindness,
fairness, efficiency and effectiveness gets woven deeper into the fabric of the
HDFC group.

To all our employees transitioning to HDFC Bank, know that you will always carry
the indelible mark of ‘HDFC’ with you. This is your era of new possibilities.
Embrace change, continue to work as close-knit teams, be kind and have each
other’s back. The future is yours to grasp.

Our senior management and leadership team over the years have been the
torchbearers and crusaders, ensuring that our core values percolate down to
every level within the organisation. More importantly, to all our employees,
past and present, I personally salute each and all of you who built the
foundation, the walls and then the floors brick by brick with solid mortar. Some
have been true HDFC lifers, others have dispersed, but none will be forgotten.
They are the fulcrum upon which this institution has stood on.
Governance has been the cornerstone of HDFC and for that, I am grateful to all
our directors who have supported and guided us through the decades.
To all our shareholders, thank you for your trust and belief in us. HDFC’s new
home is about strategising and building for the long term.

I deeply acknowledge the pivotal role and contribution of the Chairman of HDFC
Bank, Mr. Atanu Chakraborty along with the other board members during this
merger process.

With the proven execution capabilities of HDFC Bank, we are confident that
Sashi, together with the leadership team will forge an era of new opportunities
for the combined entity.
It is my time to hang my boots with both anticipation and hope for the future.
While this will be my last communication to shareholders of HDFC, rest assured
we now stride tall into a very exciting future of growth and prosperity.
The HDFC experience is invaluable. Our history cannot be erased and our legacy
will be taken forward.

Deepak Parekh

Also read: Is HDFC Bank’s lacklustre stock performance about to get better with
a stronger mortgage portfolio?

Published on: Jun 30, 2023, 5:03 PM IST
Posted by: Basudha Das, Jun 30, 2023, 4:51 PM IST
*
*
*
*

MOST READ

* EPFO: Here’s all you need to know about Rs 7 lakh insurance cover for
salaried employees

MOST READ

* Unshackled: After breaking free from Sequoia, can Peak XV double down on the
India story?

RECOMMENDED

* Jio Financial Services listing: Share allotment, expected share price, board
members details here

MOST READ

* Mukesh Ambani’s Reliance Retail Ventures makes offer to take over Future
Enterprises along with Jindal (India), GBTL

RECOMMENDED

* 'The rewards were far from realistic,' say netizens amid buzz of devaluation
of Axis Magnus credit card

MOST READ

www.businesstoday.in Open in urlscan Pro 2600:141b:13::17d7:8288 Public Scan

Form analysis 0 forms found in the DOM

Text Content

www.businesstoday.in Open in urlscan Pro
2600:141b:13::17d7:8288 Public Scan

Form analysis
0 forms found in the DOM