Housing Development Finance Corporation Limited (HDFC) on Saturday said its life insurance arm has received approval from pension fund regulator PFRDA for the change in shareholding ahead of the merger between HDFC and subsidiary HDFC Bank.

The PFRDA vide its letter dated November 11, 2022 to HDFC Life, has granted its approval for the proposed change in the shareholding of HDFC Life, sponsor company of HDFC Pension because of the proposed amalgamation i.e. the change in promoter from HDFC Limited to HDFC Bank, it said in a regulatory filing.

The amalgamation scheme remains subject to various statutory and regulatory approvals, including from the NCLT and the respective shareholders of the companies involved, it said. In a separate filing, HDFC Life informed exchanges about the approval granted to the company by the Pension Fund Regulatory and Development Authority (PFRDA) on the merger scheme shareholding changes. The National Company Law Tribunal (NCLT) has given its nod for holding a shareholders’ meeting for obtaining approval for the proposed merger.

The shareholder meeting will be convened on November 25, 2022 for the purpose of considering and approving the scheme of amalgamation. HDFC Ltd has also received approval from the Securities and Exchange Board of India (Sebi) for the transfer of HDFC Property Ventures Limited (HPVL), a wholly owned subsidiary, to HDFC Bank.

Termed as the biggest transaction in India’s corporate history, HDFC Bank on April 4 agreed to take over the biggest domestic mortgage lender in a deal valued at about $40 billion, creating a financial services titan. The deal has got in-principle approval from the stock exchanges, RBI, Sebi and the Competition Commission of India (CCI).