Indiabulls Housing Finance said on Friday that the Competition Commission of India (CCI) has given a go-ahead for the proposed merger of the company with Lakshmi Vilas Bank.
In April this year, the merger has been intended to form a larger entity with more capital basis and larger geographical reach. "The Competition Commission of India... at its meeting held on June 20, 2019, considered the proposed combination and approved the same," Indiabulls Housing Finance said in a BSE filing.
In the deal, the shareholders of Lakshmi Vilas Bank will be entitled to get14 shares of Indiabulls Housing Finance for every 100 shares they hold.
The entity will have a loan book of Rs. 1.23 trillion for the first ninth month period of 2018-19.
Post the merger, Indiabulls Housing will get a wider customer outreach, lower cost deposits as well as expanded client-base and cross-selling opportunities.