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HDFC Bank-TimesBank merger referred to RBI
Santosh Tiwary
New Delhi, Jan 19: The merger of HDFC Bank and TimesBank has been referred to the Reserve Bank of India (RBI) for its approval and a combined balance sheet of the new entity is likely to be issued by March 31, HDFC chairman Deepak Parekh said. "The merger has already been approved by the shareholders of these two banks and we're awaiting RBI nod to begin functioning as a single legal entity," Deepak parekh told reporters. Parekh said the RBI nod was expected by February and hoped that the combined balance sheet would be issued this fiscal itself. Deepak Parekh said HDFC will apply for licence as soon as the regulations for the insurance sector are laid down.HDFC has a tie-up with Standard Life Assurance Company of Britain. The paid up capital to the life insurance joint-venture is not decided. Parekh told reporters that, "We are open on the issue of the paid up capital for the life insurance company". On the merger of HDFC and HDFC Bank, Parekh said it was not possible at present due to stringent RBI regulations. He, however, added that the HDFC group would synergise functioning of its two arms cross-selling each other's financial products. Copyright © 2000 Indian Express Newspapers (Bombay) Ltd.
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