IDFC Bank, Capital First rise over 4pc on completion of merger deal

Shares of IDFC Bank and non-banking financial company Capital First Wednesday soared over 4 per cent after both firms announced completion of their merger, creating IDFC First Bank.

The scrip of IDFC Bank rose 4.26 per cent to close at Rs 42.85 on BSE. During the intra-day trade it gained 5.71 per cent to touch Rs 43.45.

Similarly, stock of Capital First gained 4.05 per cent to end at Rs 590.8 on BSE before touching a high of Rs 600 during the intra-day trade.

On NSE, the share price of IDFC Bank surged 3.88 per cent to end at Rs 42.8 while Capital First gained 3.71 per cent to close at Rs 589.

In terms of equity volume, a total of 3.94 crore shares of IDFC Bank were traded on NSE and over 28.90 lakh shares exchanged hands on BSE.

For Capital First, 37.21 lakh and 2.79 lakh shares were traded on NSE and BSE, respectively.

On Tuesday, IDFC Bank and Capital First announced completion of their merger creating a combined loan asset book of Rs 1.03 lakh crore for the merged entity IDFC First Bank.

"IDFC Bank and Capital First merged effective December 18, 2018. Merged entity to be called IDFC First Bank, subject to shareholders' approval," the firms said in a joint statement.

The boards of IDFC Bank and Capital First met to take note of all requisite approvals and the order from National Company Law Tribunal; and approved the scheme of amalgamation, the statement said.