General Management Project on

“A STUDY ON THE CORPORATE HISTORY AND MANAGEMENT OF

HDFC LTD”

SUBMITTED IN PARTIAL FULFILLMENT

FOR THE AWARD OF THE DEGREE OF
Master of Management Studies (MMS)
(Under University of Mumbai)

Submitted by
YANA JOSHI
Roll No- M2224048

Under The Guidance of

PROF PATRICIA
LEMOS
Associate Professor - TIMSR
MMS BATCH- 2022-2024

THAKUR INSTITUTE OF MANAGEMENT STUDIES & RESEARCH

C-Block, Thakur Educational Campus, Shyamnarayan Thakur Marg, Thakur Village,

Kandivali (East), Mumbai 400101

1
 CERTIFICATE

This is to certify that project title “A STUDY ON THE CORPORATE HISTORY AND
MANAGEMENT OF HDFC LTD” successfully completed by Mrs. Yana Joshi during the IV
semester in partial fulfillment for the award of Master’s in Management Studies recognized by
University of Mumbai for the academic year 2022-2024 through Thakur Institute of Management
Studies & Research, Mumbai. This project is original and not submitted earlier for the award of any
degree, diploma or associate ship of any other University / Institution

Name: Signature of Guide

Date: Date

2
 DECLARATION

I, Mrs. YANA JOSHI declare that this Project Report submitted by me to the
"A Study on Credit Appraisal Process with reference to HDFC Ltd "is a bonafied work
undertaken by me is not submitted to any other University or Institution for the award of any degree
diploma certificate or publish any time before.

Name: Signature of Student

Roll No

3
 ACKNOWLEDGEMENT

I would like to thank the TIMSR management for providing the necessary facilities required for
completion of this project. I take this opportunity to thank our Director, Dr. Pankaj Natu for his
moral support and guidance. I take this opportunity to express my gratitude towards my internal
guide Prof. Dr. Sonal Sharma for her supervision and timely support. I thank her for constant
encouragement and guidance. I would also like to thank her for sharing with me him convivial and
perspicacious ideas in order to make this project multifunctional and attractive.

4
 EXECUTIVE SUMMARY

The research study provides an opportunity to understand the particular topic in depth. The title for
the project is “A Study on the Corporate History and Management of HDFC Ltd”. Housing and
Development Finance Corporation (HDFC) Ltd is one of the if not the leading private lender in the
housing finance sector. The brand has built a strong customer base and is trusted across the country.
It was the first specialized mortgage company in India whose principal business is to provide
finance to individuals corporate and developers for the purchase construction development and
repair of houses apartments and commercial property in India. The business structure which was
prevailing at that time and the management style of the company surely has undergone drastic
changes over the years for the better. The way in which the business has grown and outperformed
other companies is due to its adaptation of new ideas and technology and style instead of sticking
to its methods. In light of the recent news about HDFC Ltd and HDFC Bank merging to form a
single entity, this study aims to understand the history of this company and how it has undergone
changes to become the leading lender in the country. Changes need to happen to build and grow a
successful organisation as it is important to know where a company is lacking and how it can carry
out its processes with more efficient means to increase productivity and in turn revenue. The study
gives a detailed understanding of the history and management of HDFC Ltd along with an in depth
analysis of the company profile.

5
 TABLE OF CONTENTS

Sr. No. Particulars Page No.

1 INTRODUCTION 7

1.1 Introduction to the Study 7

1.2 Industry Profile 8

1.3 About the Organization 10

2 RESEARCH METHODOLOGY 18

2.1 Objectives of the Study 18

2.2 Scope of the Study 18

2.3 Data Collection 18

2.4 Limitations of the Study 19

3 LITERATURE REVIEW 20

4 Organisational Structure 23

4.1 Decision Making Process 23

4.2 Leadership in HDFC Ltd 23

4.3 Facility Location 24

5 CORPORATE HISTORY 26

6 FUTURE OF THE COMPANY 54

7 CONCLUSION 55

8 BIBLIOGRAPHY 56

9 REFERENCES 57

6
 CHAPTER 1: INTRODUCTION

1.1 Introduction to the Study

There are essentially methods of growth or increase of commercial enterprise entities, i.e., natural
and inorganic boom. Organic boom is from the inner techniques, which may also relate to
commercial enterprise or economic restructuring inside an employer that consequences in enhanced
& higher client base, better sales, expanded revenue, without ensuing in change of company entity.
Inorganic boom affords an employer with a way for accomplishing hasten increase accrediting to
bypass few steps at the boom ladder. Restructuring thru mergers, amalgamations, and so on
represent one of the maximum crucial strategies for securing inorganic boom.

A employer is developing organically whilst the boom is from the inner sources without alternates
within side the company entity. Organic boom may be achieved thru capital rebuilding or
commercial enterprise restructuring. Inorganic boom is the charge of boom of the commercial
enterprise through which there's an growing in output and commercial enterprise reach, obtaining
new agencies through manner of mergers, acquisitions and take-overs and different company
rebuilding Strategies which may also create a change in a company entity.

The business environment is quickly changing with respect to technology, competition, products,
people, geographical area, markets, customers. It will not be enough if companies keep pace with
these changes but are expected to beat competition and institute in order to continuously maximize
shareholder value. Inorganic growth strategies like mergers, acquisitions, takeovers and spinoffs
are regarded as important mechanism that help companies to enter new markets, expand customer
base, cut competition, integrate and grow in size quickly, enlist new technology with respect to
products, people and processes. Thus, the inorganic growth strategies are regarded as accelerated
corporate restructuring strategies for growth for a company.

7
1.2 Industry Profile

Housing is a primary necessity in every economy and is a basic indicator of growth and social well-
being. Development of housing is not just important to economic growth but is also one of the tools
for economic development considering the accelerator impact it has on various industries including
construction and infrastructure sector; it generates demand for supporting industries and leads to
creation of job opportunities. Development of housing in a country is a sign of economic welfare.

For any emerging economy, development of the housing sector has its own challenges. The biggest
of these challenges is access to finance. While investment in real estate is an easy candidate for
borrowing, real estate lending is more opportunity-based. In India, access to finance for housing
needs is largely concentric and focused at higher income groups, as that is the sector where there
are formal evidences of income such as salary slips or income-tax returns. Since lenders tend to
lend to sectors where lending is the easiest, the lower segments of the population pyramid will
remain unserved or underserved if the system was left entirely to itself. Therefore, there is a need,
in every financial system, to enable access to finance by lower segments of the population pyramid.

While the upper has low or no access to banks for mortgage finance; creating a huge demand in
this segment and lack of access of finance. The fact that the upper segments of the pyramid are
well-served is evident from the highly competitive mortgage lending rates prevailing for the sector.
There is also a much longer way to travel in terms of ensuring the availability of housing finance
to low income to middle income groups.

Housing is an important sector for any economy as it has inter-linkages with nearly 269 other
industries. The development of housing sector can have direct impact on employment generation,
GDP growth and consumption pattern in the economy. To help develop housing in the country,
there is need to have a well-developed housing finance market. In India, housing finance market is
still in its nascent stage compared to other countries. The outstanding amount of housing finance
from all sources accounts for less than 8 per cent of GDP when compared with 12 per cent in China,

8
29 per cent in Malaysia, 46 per cent in Spain and 80 per cent in the US. The demand for housing is
increasingly being made by individuals and

Households given increasing level of income and prosperity. The supply of houses have to come
from builders, developers and construction companies scattered widely across the country, both in
the private and public sector when examined in the context of demand and supply of housing units,
especially in the face of scarce land in the urban areas.

In India, housing finance market is very complex. The government, both at centre and states, is a
facilitator and is assisted by two regulators, Reserve Bank of India (RBI) and National Housing
Bank (NHB). The housing finance market is dominated by commercial banks, both domestic and
foreign. In addition, there are cooperative banks and housing finance companies, self-help groups,
micro-finance institutions, and NGOs. The RBI regulates commercial banks and partially
cooperative banks (which are mainly governed by the State Governments under State Cooperative
Acts) while the NHB regulates the housing finance companies. The others are not regulated by any
authority in the country.

The financial sector reforms initiated in 1985 and 1991 unleashed development forces in the
economy. This resulted in higher employment, increased income levels, faster urbanisation and
higher demand for houses, especially in urban areas.

Therefore, concerted efforts were made by the Government and the Reserve Bank to encourage
housing during the 1990s. The long term goal of the National Housing Policy, announced by the
Government in 1998, was to eradicate house lessness, improve the housing conditions of the poor
and provide minimum level of basic services and amenities to all. Fiscal incentives were also
granted, in general, to the housing sector. The government has been initiating as well as
strengthening measures to extend housing to the weaker sections of the society. A number of
measures were announced from 2001 but a concerted effort was made in 2006 after some fears
were expressed that there was a housing bubble developing in India which could eventually burst.

9
1.3 About the Organization

Housing Development Finance Corporation Limited (HDFC) was promoted in October 1977
as a public limited company specializing in providing housing finance to primarily households and
corporates for purchase and construction of residential housing. Prior to 1977, retail mortgage
finance was unknown in India. There were no foreclosure norms, no credit bureau and no easy
access to finance in India. HDFC is India’s first retail housing finance company and is currently
one of the largest originators of housing loans in the country. HDFC has financed over 5.8 million
homes.

The HDFC group is considered as a financial conglomerate in the Indian capital market with the
presence of housing finance, banking, life and general insurance, Asset management, Venture
Capital and Education loan.

As a part of development initiatives HDFC has promoted institutions in various fields including
credit rating, consumer finance, leasing, infrastructure and IT enabled Service. HDFCs distribution
network spreads 427 outlets which includes 130 offices of its distribution company,
HDFC sales private limited (HSPL). In addition, HDFC covers several locations through its outrage
programs. Distribution channel form an integral part of the distribution network with home loan
being sourced through HSPL, HDFC bank limited and other third party direct selling associates.

Registration Details:

Housing Development Finance Corporation Limited (HDFC) is a public limited company

incorporated on October 17, 1977, under the Companies Act, 1956 (Corporate Identity Number
L70100MH1977PLC019916). It is registered as a Housing Finance Company with the National
Housing Bank (NHB) under the NHB Act, 1987. The equity shares of the Corporation are listed on
the Bombay Stock Exchange Limited and the National Stock Exchange of India Limited.
Form of ownership:

10
HDFC is a public limited company with its stocks listed on BSE ad NSE.

Mission, Vision, Goal and Core Values:

Mission: To enhance the residential housing stock in the country through the provision of Housing
Finance in a systematic and professional manner, and to promote home ownership.

Vision: A socially conscious and responsible organization with larger and long term impact projects
across the sector.

Goal: Increase the flow of resources to the housing sector by integrating the housing finance sector
with the overall domestic financial markets.

Core Values: Trust, Integrity, Transparency and Professional Services.

Products and Services:

Various products of HDFC Ltd include:

 Housing Loans

a) Home loans

Salient Features:

• HDFC offers Home Loans for purchase of:

A flat, row house, bungalow from private developers in approved projects.
Properties from Development Authorities such as DDA, MHADA etc.

11
• Attractive Home Loan interest rates to make your Home Loans affordable and easier on your
pocket.

• Customized repayment options to suit your needs.

• No hidden charges.
• Expert legal and technical counseling to help you make the right home buying decision.
• Integrated branch network for availing and servicing the Home Loans anywhere in India.
• Special arrangement with AGIF for Home Loans for those employed in the Indian Army.

b) Home Improvement Loans

Salient Features:

• Loans for enhancing your home in many ways such as tiling and flooring, internal and external
plaster and painting etc.
• Available for both existing and new customers.
• Easy and hassle free documentation.
• Simple repayments through monthly instalments. Loans at Home Loan interest rates.

c) Home Extension loans

Salient Features:

• Loans to extend or add space to your home such as additional rooms etc.
• Available for both existing and new customers.
• Easy and hassle free documentation.
• Simple repayments through monthly installments.
• Loans at Home Loan interest rates.

12
d) Plot Loans

Salient Features:

• Loans for:
Purchase of a plot through direct allotment O Purchase of a resale plot
Transferring your outstanding loan availed from another Bank / Financial Institution
• Attractive interest rates that make your Plot Loan affordable and easier on your pocket.
• Customized repayment options to suit your needs. Expert legal and technical counseling.
• No hidden charges.

e) Short Term Bridging Loans

Salient Features:

• Loans for the immediate funds required to purchase a new home while waiting for sale of your
existing home.
• Repayments through monthly installments of simple interest with lump sum principal
repayment at the end of the term.
• Easy and hassle free documentation. Zero prepayment charges.
• No hidden charges.
• Integrated branch network for availing and servicing the loan anywhere in India.

13
f) Rural Housing Finance

Salient Features:

• Specially designed loans to Agriculturists, Planters, Horticulturists, Dairy Farmers for:

Purchasing an under construction / new / existing residential property in the rural and urban areas.
Constructing your home on a freehold / lease hold residential plot in the rural and urban areas.
Enhancing your home in many ways such as tiling and flooring, internal and external plaster and
painting etc.
Extending / adding space to your home such as additional rooms etc.
• Loans also available for the Salaried / Self-Employed for:
• Purchasing a under construction / new / existing residential property in your village.
• Constructing your home on a freehold / lease hold residential plot in your village.
• Enhancing and extending / adding space to your home in many ways.
• For Agriculturists, no mortgage of agricultural land is required to avail the Home Loan.
• No mandatory requirement of Income Tax Returns from Agriculturists applying for the Home
Loan.
• Longer tenure of 20 years for Agriculturists. Attractive interest rates.
• No hidden charges.
• Customised repayment options to suit your needs.

14
 Non Housing Loans

a) Loan Against property

Salient Features:

• Loan against fully constructed, freehold residential and commercial properties for:
Business Needs
Marriage, medical expenses and other personal needs
• Transferring your outstanding loan availed from another Bank / Financial Institution
• Longer tenure, smaller EMIs. Attractive interest rates.
• Easy and hassle free documentation.
• Simple repayments through monthly installments.
• Integrated branch network for availing and servicing the loan anywhere in India.

b) Top-up Loans

Salient Features:

• Loans for a variety of personal or professional needs (other than for speculative purposes).
• Avail of a maximum Top Up Loan of Rs. 50 lacs.
• Loans for existing customers as well as new customers availing of our Balance
• Transfer Facility.
• Attractive interest rates.
• Easy and hassle free documentation.
• Simple repayments through monthly instalments.
• Integrated branch network for availing and servicing the loan anywhere in India.

15
c) Non Residential premises loans

i.) Built up Property -

Salient Features:

• Loans for:
The purchase of a new or existing clinic or office
The extension, improvement or construction of an office or clinic
Transferring your outstanding loan availed from another Bank / Financial Institution • Expert
legal and technical counselling to help you make the right property buying decision.
• Attractive interest rate.
• Easy and hassle free documentation.
• Simple repayments through monthly instalments.
• Integrated branch network for availing and servicing the loan anywhere in India.

ii.) Plot -

Salient Feature:

• Loans for:
Purchasing a new or existing commercial plot
Transferring your outstanding loan availed from another Bank / Financial Institution
• Expert legal and technical counseling. Attractive interest rates.
• Easy and hassle free documentation.
• Simple repayments through monthly installments.

16
Various Services offered by HDFC Ltd are:

1) Pre-payment
2) PMAY subsidy
3) Property identification and sales service
4) Property Valuation
5) Interest rate conversion
6) Legal clearance
7) Technical clearance
8) Balance transfers
9) Accounting services

17
 CHAPTER 2: RESEARCH METHODOLOGY

2.1 Objectives of the Study

1) To study the company profile and management practices of HDFC ltd.

2) To understand the history and journey of the company since its inception.
3) To study the restructuring of their business undertaken by HDFC throughout the years.

2.2 Scope of the Study

The study focuses on the entire corporate history of a giant in the housing finance sector by the
name of HDFC Ltd. HDFC is one of the leading private lenders in India and it’s journey from being
the first mortgage lender in India to being the very best has been one of twists and turns as it has
had to undergo various changes in its structure and management and the style of the entire business.
This study helps us understand the organisation structure of the company and the people responsible
for it’s great success. With the impending merger of HDFC and HDFC Bank looming large over
the world, this study is the ultimate guide to what are the various restructuring and changes that the
company has gone through in the past before finally being acquired by one of its group companies.

2.3 Data Collection

Data has been collected from both primary as well as secondary sources with most of the data
coming from secondary sources. Primary data is the first-hand data that is collected in real time
while secondary data is data collected from already published sources.

Primary sources for this study include-

• Surveyed the seniors, alumni and peers to learn from their experience.

18
Secondary sources for this study include-
• Collected information regarding the appraisal process and sector related information in general
from various websites.
• Referred various financial journals and books as well as newspapers.
• Read some papers published by various researchers and scholars.

2.4 Limitations of the Study

There are certain limitations to the study which restricts the study on certain aspects. Data is mostly
secondary in nature as accurate or exact primary data cannot be obtained from the companies as
they do not disclose such information or it is historical in nature and so will not depict the
happenings in much details.

19
 CHAPTER 3: LITERATURE REVIEW

Ashwini Kumar Bhalla (2008) : Housing Finance is a high flying sector these days and is tipped
to grow at a phenomenal 36% P.a. Banks and financial institutions have brought sea changes in
their strategies and there is shift from seller’s market to buyer’s market. Liberal tax incentives by
the govt, low and competitive interest rates for housing finance has made this sector as red hot
sector. Keeping in view the importance of housing finance in solving the housing problem this
paper analyse the performance of this sector while identifying the its problems and challenges. A
look has also been given to the future prospects of this sector.

Manoj Joshi (2007) : Housing Development Finance Corporation Limited (H.D.F.C) was set up
on 17th October, 1977 by I.C.I.C.I. out of the consideration that a specialised institution was
needed to channel household savings including funds from the capital market into the housing
sector. H.D.F.C. since its seeding has emerged as the largest mortgage finance institution in the
country. The main objective of H.D.F.C. is to develop significant expertise in retail mortgage
loans to different market segments, to have a large corporate client base for its housing related
credit facilities and to support or aid in the promotion of home ownership. H.D.F.C. is India's
leading housing finance company and for all practical purposes is synonymous with the domestic
housing finance industry.

S Gupta (2011) : The housing scenario has become more critical in India in recent years. India
has initiated so many housing reform that has taken many forms and manifestations characterized
by the reduction in social allocation, cutbacks in public funding and promotion of a real estate
culture in close partnership between the state and private actors. Mortgage financing markets can
play an important role in stimulating affordable housing markets and improving housing quality
in many countries. Unfortunately, these are still in infancy in India. This lack of development
often translates into lower homeownership rates or poor housing quality. Most of these problems

20
stem from the central dilemma that the resources are always too limited and housing development
heavily depend on the financial institutions such as banks, credit corporations and development
banks for the supply of finance to meet their daily financial needs. Against this backdrop, this
paper will assess basic nuances of Indian financing system.

Mathew Varughese (2013) : The present study has been undertaken to examine the operational
and financial performance of HDFC, its contribution to the housing sector of Kerala, the personal
traits of borrowers and their perception on its loan products and services. The study covers a
decade from 1997-98 to 2006-07. Both primary and secondary data were used for the study. The
primary data were collected from the borrowers of HDFC belonging to the three zones in Kerala
i.e. north, central and south, based on structured interview schedule. The secondary data were
collected from annual reports, books and periodicals. The data collected were classified and
analysed suitably keeping in view the objectives of the study. On the basis of findings of the
study, it is deduced that the role of HDFC must be extended to the rural area of Kerala as the
service of HDFC is more in urban areas than the rural areas. The rate of interest changed by
HDFC for their loans is higher than those of other institutions like LICHF or commercial banks.
Again, HDFC does not consider the repayment capacity of the beneficiaries along with the
property mortgaged. For HDFC there is no provision for fixing lower EMI in the initial years
when the incomes of the borrowers are lower and increasing the same (EMI) as incomes rise.
Regarding the quality of service it is noticed that beneficiaries rate HDFC as moderate compared
to other institutions.

Debarati Guha (2020) : Housing finance sector is one of the major contributors of India’s
economic development. Housing Development Finance Corporation Ltd. (HDFC Ltd.) was
established in 1977 and was the first private sector specialised institution providing housing
finance. It is a major player in the housing finance sector in India. HDFC Ltd. is a pioneer in the
concept of retail lending of housing finance at times when no other major institution was there in
the field of housing finance. Through the years, HDFC Ltd. has consistently endeavoured to

21
provide finances for house building activity by incorporating most demanding improved quality
of services. Some of the main associate companies attached with the HDFC Ltd. Are HDFC Bank
ltd, HDFC Venture Capital Ltd. And other associates serving with insurance activities and with
other service sectors. In this backdrop, this paper takes an in-depth look at the performance of
HDFC Ltd. in the Housing Finance Sector in India in the recent years.

K. Vidyarathi (2001) : The author studied the scenario of housing sector for the district of
Karnataka. For her study, she had selected 5 housing finance companies that are, HDFC Ltd, LIC
housing finance, GICHF Ltd., Con Fin Homes Ltd., SBI Housing and Dewan Housing finance
Ltd. In her study, she tried to find out the similarities as well as differences in the features of
loans provided by these 5 companies. Her studies emphasise on the buyer’s perception towards
the different products offered by the different HFC’s in Karnataka.

Jasmindeep Kaur Brar and J.S. Pasricha (2005) : The author did a study named as
“Performance of Housing Finance Companies”. In this study, the authors observed that, in India,
HDFC Ltd. is the topmost financial institution in terms of amount of loan sanctioned, loan
disbursement and volume of outstanding loan in the housing sector, whereas PNB ranked last in
this category. If growth rate is concerned, LIC Housing Finance Ltd. is ranked at the top among
the selected HFCs.

22
 CHAPTER 4: ORGANISATION STRUCTURE

Organization Structure of HDFC Ltd is very simple. Organizational structure is a system used to
define a hierarchy within an organization. It identifies each job, its function and where it reports to
within the organization. This structure is developed to establish how an organization operates and
assists an organization in obtaining its goals to allow for future growth. The structure is illustrated
using an organizational chart.

4.1 Decision making process

Organizational decision making is an extremely complex exercise. Fast decision making guided by
quality insights is an imperative for business performance. Through agile decisions, organizations
can accelerate innovations, reduce the time-to-market of products and services, and tackle emerging
business complexities. While undertaking key decisions,

Enterprises are often guided by questions such as: What are the overall goals? Are there any
dependencies between these goals? What are the means of achieving them? How do these means
differ qualitatively and quantitatively? Typically, experts are guided by past experience. They
validate and rank solution alternatives. The limited details available at this stage means decision
alternatives can at best be qualitatively differentiated.

4.2 Leadership in HDFC Ltd.

Mr. Deepak S. Parekh is the chairman of the corporation. He joined the corporation in a senior
management position in 1978. He was inducted as a whole time director in 1985. He was then
appointed as MD in 1993. He is a director on board of several prominent companies in India. He is
also the chairman of CSR committee of the organization.

23
Mr. Keki Mistry is the Vice Chairman and Chief Executive Officer of the organization. He is a
fellow of Chartered Accountant of India. He joined the corporation in 1981. He was then appointed
as executive director in 1993, as deputy Managing Director in 1999 and as Managing Director in
2000. He was then appointed as Chairman and Chief Executive Officer in
2010. He is also a member of risk management
committee.

Ms. Renu Karnad is Managing Director. She holds master’s degree in economics from Delhi
University and is graduated in law from Mumbai University. She joined the corporation in 1978.
He was then appointed as executive director in 2000, as joint Managing Director in 2007 and as
Managing Director in 2010. She is also a member of risk management committee.

Mr. V. Srinivasa Rangan is the Executive Director of the corporation. He is a fellow of Chartered
Accountant of India. He joined the corporation in 1986 and served in Delhi region and was a senior
general manager at head office since 2000. He was then appointed as executive director in 2010.
He is responsible for the treasury, resources and accounts function of the corporation. He is also a
member of stake holders‟ relationship committee and risk management committee.

24
4.3 Facility location

HDFC has registered office at Mumbai. The corporation’s network now spans 427 outlets
with 35 Hubs. To further augment the network, HDFC has overseas offices in London, Singapore
and Dubai the Dubai office caters to customers across Middle-East through its service associates
based in Kuwait, Oman and Saudi Arabia.

Information System in HDFC:

Information technology can be a strategic tool in making HDFC more efficient and effective. HDFC
can reach more people in more efficient way by implementing right management information
system. IT creates an evolution in whole world in every business and so in banking system. Due to
IS employees can easily connect with other branches, customer, service get improved, online
banking emerged and lot of others benefits.

Topology used in HDFC:

Topology used in HDFC Hybrid Topology is used in HDFC which consists of ring and bus
Network. The bus trunk serves as a backbone of network.

25
 CHAPTER 5: CORPORATE HISTORY

Housing Development Finance Corporation Limited (HDFC) changed into included on 17 October
1977 because the first specialised Mortgage Company in India. The predominant commercial
enterprise is to offer finance to people company and builders for the acquisition creation
improvement and restore of homes residences and industrial belongings in India. The commercial
enterprise is performed thru its branches in India and its remote places of work in London Singapore
and Dubai supported via way of means of a community of dealers for sourcing loans in addition to
deposits and provider pals withinside the Middle East location to offer housing loans and
belongings advisory offerings to non-resident Indians (NRIs) and folks of Indian origin (PIOs).
HDFC is the protecting organisation for investments in its pals and subsidiary companies. HDFC’s
product variety consists of loans for buy and creation of a residential unit buy of land domestic
development loans domestic extension loans non-residential premises loans for specialists and
mortgage in opposition to belongings even as its bendy reimbursement alternatives consist of Step
Up Repayment Facility (SURF) and Flexible Loan Instalment Plan (FLIP).The company’s
subsidiaries include HDFC Developers Ltd HDFC Investments Ltd HDFC Holdings Ltd HDFC
Trustee Company Ltd HDFC Realty Ltd HDFC Property Ventures Ltd HDFC Sales Pvt Ltd HDFC
Ventures Trustee Company Ltd HDFC Venture Capital Ltd HDFC Ergo General Insurance
Company Ltd HDFC Standard Life Insurance Company Ltd GRUH Finance Ltd HDFC Asset
Management Company Ltd and HDFC Bank Ltd. Housing Development Finance Corporation Ltd
was incorporated in the year 1977. The Corporation is established with the primary objective of
meeting a social need that of promoting home ownership by providing long-term finance to
households for their housing needs. The company was promoted with an initial share capital of Rs.
100 million.

• 1977

On October 17th HDFC was incorporated as a Public Limited Company. HDFC was promoted by
the Industrial Credit and Investment Corporation of India. The company got the certificated of

26
commencement of business on 3rd December. HDFC provides housing finance in India. The
corporation provides long term housing loans mainly to low and middle income individuals and
corporate bodies. It has also provided a modest amount of construction finance to housing
developers.

• 1979

On November HDFC introduced HDFC Certificate of Deposit Scheme.

In the year 1979 the Corporation introduced HDFC Certificate of Deposit Scheme.
5,00,126 shares taken up by subscribers to Memorandum of Association. 50,000 shares reserved
for International Finance Corporation, Washington and 50,000 shares issued to His Royal Highness
The Aga Khan and/or Foundation Aga Khan Switzerland. 3,99,874 shares allotted at par to the
public in May-June 1978.

• 1980

During the year company introduced Loan Linked Deposit scheme, which encourages small savers
to begin a pass book account with HDFC for a minimum of Rs.200 and deposit, as and when funds
are available in multiples of Rs. 100. After a period of 3 years, the depositor may withdraw his
accumulated deposit which has earned 9% per annum or renew it with HDFC. In either the event,
the depositor become eligible for a loan up to 4 times his accumulated savings, subject to normal
lending policy of Co.

• 1981

27
During the year, HDFC negotiated for loan under Housing Guarantee Programme under US aid.
During the same year company launched another programme named Non-Resident Certificate
Deposit Scheme.
In the year 1981 they introduced their first retail Deposit Product. They promoted a wholly owned
subsidiary HDFC Developers during the year.
In the year 1982 the Corporation introduced the Line of Credit Product (LOC) for employee owned
housing.

• 1983

During the year, the corporation issued bonds of face value of Rs. 5000 each for a total amount of
Rs.10 crores.

• 1984

During the year a second issue of bonds of Rs. 5,000 each for Rs.10 crores was floated by way of
public issue of bonds in March 1986.

• 1985

During the year on May company launched Home Saving Plan. Under this facility, an individual
can borrow for his housing needs at 8.5% per annum provided he completes certain saving
requirements beforehand. During the year company also introduced HDFC- Cumulative Interest
Scheme.
In the year 1985 the Corporation introduced the Home Savings Plan based on the 'Bausparkassen'
model West Germany and the 'Step-up Repayment Facility'.

28
A new agreement was entered into with USAID under which a further sum of U.S. $25 million was
borrowed from the U.S. capital market in 1986-87.

• 1986

During the period corporation issued, IV & Vth series of bonds for Rs.10 crores and Rs. 5 crores
respectively. During the same year corporation started offering a new service called Advanced
Processing Facility (APF) under which property developers who are undertaking a residential
project can finance individuals buying a dwelling unit in their project.
5,00,000 Rights equity shares issued at par in prop. 1:2. Subsequently, another 5,00,000 No. of
equity shares were offered at par for public subscription.

• 1987

During the year HDFC issued its New Corporate Bonds - Series I for Rs. 20 crores. Also VI, VII
and VIII series bonds for an aggregate amount of Rs. 20 crores were issued during the year.

• 1988

During the year National Housing Bank was set up as an apex body to ensure orderly growth and
functioning of housing finance system in India.
Two new facilities viz., the Telescopic Loan Plan and Short Term Bridging Loan were introduced
mainly for younger borrowers.
HDFC entered into an arrangement with the Bank of India whereby HDFC was to receive fixed
rate counterpart rupee funds in lieu of the US dollars deposited with Bank of India in New York.
The Home Loans Account scheme was to be launched in co-operation with scheduled banks with
effect from July 1, 1989.

29
The Centre for Housing Finance unit proposed to design specific programme contents to suit
different purposes and institutions.
In the year 1988 the Corporation in with India's leading financial institutions and commercial banks
promoted Gujarat Rural Housing Finance Corporation Ltd (GRUH Finance) Housing Promotion
and Finance Corporation Ltd (now SBI Home Finance) Can Fin Homes Ltd and Infrastructure
Leasing and Financial Services (IL&FS) and the Credit Rating Information Services of India Ltd
(CRISIL). They introduced Telescopic Loan Plan and Short Term Bridging Loan products.

• 1989

During the year Krditanstalt Fur Wiederauflau of Germany, sanctioned a line of credit of DM 25
million to fund loans disbursed by HDFC for low cost housing project directed to economically
weaker section households.
In the year 1989 the Corporation introduced two new products namely Home Improvement loans
& Home Extension loans.
Two new types of loans namely, Home Improvement Loans (HIL) and Home Extension Loans
(HEL) was launched.

• 1990

During November, the company issued 13, 77,500 equity shares of Rs.100 each at a premium of
Rs.85 per share to the public. And also 72,500 shares were reserved for employees of the company.
Simultaneously, the corporation offered 10,00,000 equity shares of Rs. 100 each at a premium of
Rs. 75 per share to the then existing shareholders in proportion 1:2. The Company allotted 25,
00,000 No. of equity shares (both rights and public offer).
The Company negotiated a borrowing of US 100 million from IFC, Washington, in two parts - Part
`A', a loan of US $40 million from IFC (W) directly and Part `B', a loan of US $60 million to be
syndicated by IFC (W).

30
To commemorate the beginning of the second decade the HDFC, it was proposed to establish a
shelter assistance fund to encourage and support activities related to shelter problems, in general
and to the needs of the poorer and economically weak sections in particular.
Forfeiture on 970 No. of equity shares annulled. Issued 14,50,000 No. of equity shares (prem. Rs.
85 per share) to the public and 10,50,000 shares (prem. Rs 75 per share) as rights in December.
In the year 1991 they re-launched their retail fixed deposit products.

• 1993

During the year, the Corporation launched a new deposit product Easy Way Savings, a unique
product providing households with flexible maturity choice as well as saving profile.
During the year, the Corporation signed a MOU with General Electric Corporation of USA, to
promote a new joint venture for understanding the business of Consumer finance. HDFC and
General Electric Corporation, have an equity stake of Rs. 15 crores each.
In the year 1993 the company made a joint venture with General Electric Capital Corporation of
US to promote Countrywide Consumer Financial Services Ltd for consumer finance.

• 1994

The Corporation promoted the educational loan facility to provide financial support to students
pursuing higher education.
As a joint venture in the GE capital (USA) HDFC promoted a consumer finance company in March
for provision of range of financial product.
9,00,000 No. of equity shares of Rs 100 each allotted to ICICI and UTI on private placement basis.
17,86,400 No. of Equity shares of Rs 10 each issued on private placement basis. Also 50,00,000
Pref. shares were issued to domestic companies.
In the year 1994 the Corporation introduced Non-Residential Premises Loans for Individuals.

31
• 1995

During the year, the Corporation undertook to set up its first Overseas branch office in Dubai. The
Corporation was one the promoters of ILFSL along with Central Bank of India and Unit Trust of
India.
The Corporation jointly promoted with State Bank of India (SBI) a new housing finance Company
under the name of Housing Finance & Promotion Corporation, Ltd. which operate in the eastern
and north-eastern regions with its headquarters at Calcutta.
A MOU was signed with Bank Papera Sejhtera, Indonesia on the broad parameters of technical
assistance to be provided over a 6 months period.
During the year, the Singapore based property management company Colliers Jardine Holdings
Ltd., has entered into a joint venture with HDFC and Infrastructural Leasing and Financial Services
Ltd., to introduce consultancy services in real estate. The joint venture will be named Colliers
Jardine (India ) Ltd. HDFC and IL&FS will contribute 15% each in the joint venture and the balance
70 per cent will be held by Colliers Jardine Holdings Ltd., or its nominees.
During the year HDFC, has firmed up its plans to enter the insurance industry. The company signed
a joint venture agreement with the Standard Life Assurance Co. of UK, to establish an insurance
company in the country as soon as insurance industry is opened up for private investment. The joint
venture agreement was signed on 11 October.
During the year company issued 50,00,000 - 12.5% Cumulative Redeemable Convertible
Preference Shares of Rs.100 each.

• 1996

During the year corporation introduced Flexi-Rate Individual Housing Loan.

During March, HDFC launched India's first captive auto finance company named Maruti
Countrywide Auto Financial Services Ltd., with the objective of exclusively financing Maruti

32
Vehicles in India. This is joint venture between HDFC, Maruthi Udyog & GE Capital India. HDFC
Developers, Ltd. and HDFC Investments Ltd. are the wholly owned subsidiaries of the Company.

• 1997

In the year 1997 the Corporation promoted the first private sector housing finance company namely
Delta Brac Housing Finance Corporation Ltd in Bangladesh.
50,00,000 Cumulative Redeemable Non-convertible pref. shares redeemed during the year.
Government of Rajasthan, Infrastructure Leasing and Finance Services and Housing Development
Finance Corporation have signed a memorandum of understanding in Mumbai to set up Project
Development Corporation.
The Housing Development Finance Corporation (HDFC), India's premier housing finance
institution, has stepped up its programme to mobilise deposits in Goa, by setting up an organised
network of agents as part of its efforts to offer safe and attractive deposit options.
Countrywide Consumer Financial Services (CCFS), a joint venture between Housing Development
Finance Corporation (HDFC) and GE Capital Services, USA, proposes to raise Rs.20 crore through
issue of non-convertible debentures on private placement basis.
Housing Development Finance Corporation Ltd. (HDFC) has approached the Life Insurance
Corporation (LIC) for a tri-partite venture along with Standard Life of Scotland, to tap the market
for pension funds.
The Housing Development Finance Corporation (HDFC) has tied up with the Rajasthan
government to set up a new company.
Housing Development Finance Corporation (HDFC) has received LAAA, MAAA and A1+ ratings
for its bonds, fixed deposits (FDs) and short-term debt instruments respectively from ICRA. With
a 56-per cent share, the Housing Development Finance Corporation (HDFC) is the market leader
in housing finance.
International Finance Corporation (IFC) is teaming up with Housing and Development Finance
Corporation (HDFC) to create a non-banking finance company which will provide long-term
housing mortgages to the middle income market in Bangladesh.

33
While IFC and HDFC will be founding shareholders in the joint venture, they will also be joined
by the Bangladesh Rural Advancement Committee and the Delta Insurance Group, an insurance
company, according to the 1997 annual report of IFC which was released on September 22. The
first private sector housing finance company has been established in Bangladesh with the World
Bank signing a deal on behalf of International Finance Corporation (IFC) to become an equity
partner along with Housing Development Finance Corporation (HDFC) in the recently established
Delta Brac Housing Finance Company (DBH) of Bangladesh.
The Housing Development Finance Corporation Ltd. (HDFC) has introduced a novel loan facility,
betterment fee loans to site owners in revenue layouts within the jurisdiction of Bangalore
Mahanagara Palike.

• 1998

In the year 1998 the Corporation in partnership with a South-based NGO launched the Indian
Association for Savings & Credit (IASC) a pioneering micro-finance institution operating in the
states of Tamil Nadu and Kerala. Also they introduced Home Equity Loans and Corporate
Employees Group Finance Arrangement.
The Housing Development and Finance Corporation (HDFC) is in talks with an Asian offshore
institutional investor for setting up a joint venture company in anticipation of the government
opening up the real estate sector for foreign direct investment (FDI).
The Housing Development Corporation (HDFC), one of India's leading housing finance companies,
floated its maiden debenture issue through the private placement route on 14th July.

• 1999

In the year 1999 the Corporation invested in a new Housing Finance company in Sri Lanka. They
launched the Corporation website www.hdfcindia.com (now hdfc.com). Also they introduced the
Adjustable Rate Home Loans and became the first housing finance institution to do so.

34
HDFC will enter into a memorandum of understanding for strategic business collaboration with
Chase Manhattan bank.
In the year 1990 the Corporation in association with the United Nations Centre for Human
Settlements promoted the Coalition of Housing Finance Institutions in Asia.
Housing Development Finance Corporation (HDFC) and Chase Manhattan have entered into an
agreement where, in the event of the two funds - India Private Equity Fund and Indocean Financial
Holding Ltd.

• 2000

In the year 2000 the Corporation inaugurated a new HDFC Standard Life office in Mumbai. They
launched their first Property Fair and they issued their first Mortgage Backed Securities. The
Corporation made a joint venture with Mahindra & Mahindra group and promoted
propertymartindia.com a website for providing a range of real estate services. During the year the
Corporation acquired the entire shareholding of Hometrust Housing Finance Company Ltd. Also
GRUH became a subsidiary of the Corporation. They made a joint venture with TCS and promoted
Intelenet Global Services Limited for IT enabled services. Also they entered into joint venture with
Standard Life Investments for promoting the HDFC Mutual Fund.
The Company and State Bank of India would be entering into a MOU to set up a Credit Information
Bureau jointly in technical and financial collaboration with Dun & Bradstreet Information Services
India Pvt. Ltd. and Trans Union International Inc. the leading providers of Business
and Credit Information services.
The Company has informed that, SLAC have acquired an aggregate of 10 lac equity shares from
the secondary market.
The Company has acquired an equity holding of 12.5 per cent in IndiaConstruction.com, a B2B
construction portal promoted by the Pune-based Construction Portal Pvt. Ltd.
HDFC's tie-up with the Palmyrah Workers' Development Society (PWDS), a Tamil Nadu-based
NGO has resulted in the formation of the Indian Association of savings and Credit (IASC), an RBI
recognised NBFC.

35
The Cellular Service provider Orange has tied up with Housing Development Finance Corporation
to offer mobile Internet banking to its customers.
Geojit Securities, has struck an alliance with HDFC Bank for providing a payment gateway to
internet trading clients.
The Company has opened an office in Kozhikode which is its third office in Kerala.
The Company has introduced a home equity loan with a facility to mortgage property to secure loan
for children's education, medical expenses and other miscellaneous investments.
The Company has acquired the entire shareholding of Hometrust Housing Finance Company, a 100
per cent subsidiary of Gujarat Ambuja Cements and has also acquired 26 per cent additional stake
in Gruh Finance which was held by GACL.
The Company has acquired the housing finance business of Gujarat Ambuja Cement Ltd for a total
consideration of Rs. 60 crores.
The Housing Development Finance Corporation and Tata Consultancy Services signed a
memorandum of understanding to set up a 50:50 joint venture to offer IT-enabled services overseas.
CRISIL has reaffirmed the AAA rating assigned to the company's Rs 1,195-crore bond programme.
It has also reaffirmed the FAA rating given to the corporation's fixed deposit programme and the
P1+ rating assigned to the short-term debt plan.
The Company proposes to capitalise on the huge real estate requirement of MNCs as the latter
propose to set up retail chains across the country.
HDFC has acquired two crore shares in Lafarge India representing face value of Rs. 20 crore.
HDFC asset management company is to formally launch its mutual fund schemes from 20th July.
A clutch of financial service firms led by HDFC have joined together and acquired one of the oldest
cards on the BSE.
Housing Development Finance Corporation and the State Bank of India are setting up an equal joint
venture for credit rating of individuals.
ICICI Ltd and HDFC have hiked their housing loan rates by 50 basis points.
Amalgamation of Hometrust Housing Finance Company Ltd.
The Credit Rating Information Services of India Ltd has assigned an `AAA' rating to the Rs
1,500crore bond programme of the company.
VSNL and HDFC have jointly launched online renewal facility for Internet subscription in
Mumbai, New Delhi, Calcutta, Chennai, Pune and Bangalore.

36
ICRA has assigned `LAA' rating to Hudco Rs 1 billion tax-free and Rs 5 billion taxable bonds
programme.
Housing loan finance company HDFC Limited targeting the NRIs, launched a portal `HDFC
Reality.com' to provide information on real estate properties in and around Bangalore city. The
Insurance Regulatory and Development Authority has granted registration to HDFC Standard Life
Insurance, as the first private sector life insurance company in India.
Mr. Keki Mistry will be the new Managing Director of Housing Development Finance
Corpsoration.
The Housing Development Finance Corporation has launched a retail finance scheme, Step Up
Repayment Facility, which provides for a higher loan amount.

• 2001

In the year 2001 the Corporation in association with State Bank of India Dun & Bradstreet and
Trans Union International Inc. (TU) promoted Credit Information Bureau (India) Ltd. They opened
their 100th office at Amristar.
The UB group has tied up with Housing Development Finance Corporation (HDFC) and
Infrastructure Leasing and Finance Services (IL & FS) to raise Rs.60 crore to part fund the
acquisition of Associated Breweries & Distillers (ABD).
HDFC has tied up with the Alireza group of Saudi Arabia and the Jeddah-based Technobuild to
provide advisory services to NRIs.
HDFC has decided to acquire the entire equity holding of its subsidiary HDFC Holdings in HDFC
Bank.
HDFC has acquired 133,10,000 equity shares in HDFC Bank from HDFC Holdings, a 100 per cent
subsidiary of HDFC, through internal transfer.
The Housing Development Finance Corporation has launched its $100-million five-year syndicated
loan with roadshows beginning in Singapore.

• 2002

37
In the year 2002 the company made a joint venture with Chubb Corporation USA and promoted
HDFC-Chubb General Insurance Company Ltd for non-life insurance.
HDFC Board approves proposal to set up JV with Chubb Global for foray into General Insurance
business.
Housing Development Finance Corporation Ltd has on March 20, 2002 allotted 711178 equity
shares of Rs 10 each under the Employees Stock Option Scheme (ESOS).
Housing Development Finance Corporation Ltd has informed BSE that the Corporation has
purchased 18,00,582 equity shares of Rs 10/- each of GRUH Finance Ltd, representing 6.79% of
its paid up equity capital. After the said purchase, the holding of the Corporation in GRUH Finance
Ltd aggregates to 1,62,40,604 equity shares of Rs 10/- each, representing 61.29% of its paid up
capital.
Housing Development Corporation Ltd has on August 7, 2002 allotted 51378 equity shares of Rs
10 each under the Employees Stock Option Scheme.
RVS Rao reappointed as Executive Director of Housing Development Finance Corporation.

• 2003

In June 2003 they singed a USD 200 million-loan agreement with International Finance
Corporation (IFC) Washington. In May 2003 the Corporation signed a Technical Service Contract
with Egyptian American Bank for providing technical assistance for setting up Egypt's first private
sector led mortgage finance company Egyptian Housing Finance Company.
Housing Development Finance Corporation (HDFC) has asked chairman Deepak Parekh to
continue for three more years with effect from March '03. The service of Renu S Karnad, executive
director, has also been extended for another five years with effect from March 2003. Besides, the
corporation is revising upwards the remuneration package of its top management, including Mr
Parekh, managing director KM Mistry and two executive directors Ms Karnad and Mr RVS Rao.
The package will be in the range of Rs 80,000 to Rs 4,00,000 per month. At present, Mr Parekh
and Mr Mistry receive a salary of Rs 2,00,000 and Rs 1, 75,000 per month, respectively. Mr Rao
and Ms Karnad get Rs 1,50,000 per month.

38
HDFC divests its entire stake in Spectramind to Wipro.
Fox-Pitt, Kelton's (FPK) survey on the Asia's Best Managed Banks identifies Housing
Development Finance Corporation (HDFC) as the second best managed financial institution in
India and among best in the region
HDFC Asset Management Company (AMC) acquires Zurich Asset Management Company India
Standard Life Assurance Company hikes stake in HDFC to 14.06 %
HDFC Realty becomes Wholly owned Subsidiary of HDFC
HDFC Board approves Arrangement between the Corporation & HDFC Bank wherein HDFC Bank
will source housing loans for the Corporation
Allotts Secured Non-Convertible Debentures (NCD's) of Rs 1 million each, aggregating to Rs 2500
million on a private placement basis
Divests shares of HDFC AMC to Standard Life Investment Ltd. Consequent to the said sale, the
Corporation would hold 50.10% of the total paid up capital of the HDFC AMC and the balance
49.90% would be held by Standard Life Investments Ltd.
Inks loan agreement for $200 million with International Finance Corporation (IFC), the private
lending arm of the World Bank
Cuts home loan rates for fixed-rate loans by about 25 basis points across maturities
Alpine International Ltd., a sub-account of Warburg Pincus LLC, divests HDFC's 42,50,582 shares
reducing its holding to 4.48%
Share price hits a life time high of Rs 455.
Mr M Narasimham resigns as a Director of the Corporation wef August 20, 2003.
Allotts 3833 Secured Redeemable Non-Convertible Debenture (NCDs) of Rs 1 million each
aggregating to Rs 3833 million on a private placement basis.
Unveils its 4th branch in Bangalore at Basaveshwaranagar.
Forges alliance with Tally to unveil EDI for Small & Medium Enterprises (SMEs)
Allotted 2833 Secured Redeemable Non-Convertible Debenture (NCDs) of Rs 1 million each
aggregating to Rs 2833 million on a private placement basis.
HDFC unveils innovative housing product.

• 2004

39
Becomes the first private corporate to raise Rs 1,000 crore debt in a single tranche and in a single
option.
The Company has received disclosures from Mr. D S Parekh - Chariman and Mr Susir Kumar -
Company Secretary of their acquisitions. The details are as follows : i) Mr. D S Parekh has on
March 02, 2004 acquired 25,000 shares. The mode of acquisition is allotment pursuant to exercise
of options vested under ESOS and his shareholding after the said acquisition is 3,00,500 shares
amounting to 0.1223% of the voting rights of the company; ii) Mr. Susir Kumar M has on March
02, 2004 acquired 6,800 shares. The mode of acquisition is allotment pursuant to exercise of options
vested under ESOS and his shareholding after the said acquisition is 6,800 shares amounting to
0.0028% of the voting rights of the company.
HDFC inaugurated its 16th office in Tamil Nadu and 6th office in Chennai at the southern suburb
of Velachery
Capital Research acquires 1.38 pc additional stake in HDFC

• 2005

HDFC, Elcot sign pact to promote infotech in TN

Forbes Group ties up with HDFC to set up media firm
Hudco ties up with Pragati Social Infrastructure & Development Ltd to float new JV
HDFC JV unveils Yellow Pages in Ahemedabad
HDFC and WL Ross team up to invest in Indian corporate turnarounds
In February 2005 the Corporation entered into an implementation agreement with NHB and Asian
Development Bank for technical assistance for a study on the development of an agency/secondary
mortgage institution to facilitate issuance of residential mortgage-backed securities along similar
lines as Fannie Mae in USA.

• 2006

40
During the year 2006-07 the Corporation approved 8 schemes in the area of low-income housing
and micro-enterprise financing by way of financial intermediation to partner non-government
organisations and micro-finance institutions. They divested their equity holding in HDFC-SL in
favour of Standard Life Assurance Company UK for a consideration of Rs. 5.66 crore.
Housing Development Finance Corporation (HDFC) may join hands with Apollo Hospitals to set
up two-three super-specialty hospitals in Mumbai. HDFC joins hand with Postal dept on October
10, 2006.
HDFC launches its operations in London, UK
HDFC realty fund acquires 10 pc in Pune realtor Vascon Engineers
HDFC joins hands with Apollo to set up hospitals in Mumbai

• 2007

HDFC Ltd has forged an alliance with Germany's Ergo International AG as the new joint venture
partner for its general insurance business.
HDFC increases its stake in HDFC Asset Management Company
HDFC emerged as the best 'Investment Management Company’ in India at the Liquid Real Estate
Awards - 2007 organised by EUROMONEY
During the year 2007-08 the Corporation approved 16 new schemes under the KfW
Entsicklungsbank lines in the area of low-income housing and micro-finance by way of financial
intermediation to partner non-government organisations across India. They launched two major
advertising campaigns namely 'Asset Plus' and 'Empowerment'. 'Asset Plus' was launched primarily
to create awareness about home equity loans. 'Empowerment' highlighted the fact that the
Corporation's employees are empowered to deploy all resources available to them to provide
professional services to customers. During the year the Corporation acquired the entire 26% of the
equity of HDFC Chubb General Insurance Company Ltd from Chubb Global Financial Service
Corporation USA consequent to which the company became a wholly owned subsidiary of the
Corporation. In June 2007 consequent to a preferential offer by HDFC Bank Ltd the Corporation
acquired 13582000 shares of HDFC Bank for a consideration of Rs. 1390.11 crore. In October 2007
the Corporation and Standard Life Investments realigned their shareholding in HDFC Asset
41
Management Company Ltd. Accordingly; the Corporation increased their stake to 60% in
HDFCAMC by acquiring 9.9% from Standard Life Investments. Also, the Corporation and ERGO
International AG (ERGO) the primary insurance entity of Munich Re Group (Germany) entered
into a joint venture where by HDFC sold 26% equity stake of the company to ERGO. As a result
of this new joint venture the company was named HDFC ERGO General.During the year the
Corporation divested 7.15% of its equity holding in HDFC-SL in favour of Standard Life Assurance
Company UK for a profit of Rs. 120.94 crore. Also, they divested their entire shareholding in
Intelenet Global Service Pvt Ltd for a profit of Rs. 313.25 crore. As a result,
Intelenet Global Service Pvt Ltd ceased to be an associate of the Corporation

• 2008

During the year 2008-09 the Corporation approved 12 new schemes under the KfW
Entsicklungsbank lines in the area of low-income housing and micro-finance by way of bulk loans
to partner Non-Government Organisations and micro-finance institutions.
HDFC selected as the 'Top Indian Company in FIs / NBFCs / Financial Services Sector' for the Dun
& Bradstreet - American Express Corporate Awards 2007
HDFC Ltd has announced the opening of a new office at Old Mahabalipuram Road, Sholinganallur.
Opening of this office marks its 7th office in Chennai city and 16th in Tamil Nadu.
HDFC to spread its network to capture Indian rural market
HDFC Tie up with Postal Department to extend rural reach
HDFC First overseas Branch in Bahrain inaugurated
HDFC launched India's first Rural Banking BPO at Tirupati

• 2009

During the year 2009-10 the Corporation introduced 'HDFC Systematic Savings Plan' which is a
monthly savings plan offering a variable rate of interest. They launched a key brand campaign -
42
'HDFC - because every family needs a home'. The objective of the campaign was to connect with
HDFC' s existing customers as well as prospective customers making the HDFC brand synonymous
with a home.
HDFC introduces a "special disbursement offer" for its New Home Loans.
Housing Development Finance Corporation (HDFC) had increased its stake in HDFC Bank.
HFDC offers 8.25 per cent fixed rate for new loans
HDFC plans to mop up $820 mn via bonds
HDFC - Agreement to acquire stake in Credila Ltd.
HDFC hikes stake in HDFC Bank

• 2010

In April 2010 the company launched a special home loan product at a fixed rate of 8.25% per annum
up to March 31 2011 9% for the period between April 4 2011 and March 31 2012 and the applicable
floating rate for the balance term. This is a flexible product with dual rates. They also re-launched
their product loan against property to assist customers.
HDFC 4000th ATM launched at Vijay Mahal in Mangalore.
HDFC New Kanjur Marg Office inaugurated
Company has splits its Face value of Shares from Rs 10 to Rs 2
During the year 2010-11 HDFC Real Estate Destination (HDFC RED) an on-line real estate portal
was launched with the key objective of providing a single destination to potential home buyers to
search and short-list desired properties that suit their requirements.

• 2011

HDFC signed MOU with Indian Army for total Salary Solution.
HDFC 5000th ATM launched at Swami Narayan Chowk, Rajkot

43
HDFC Intensive Rural Campaign launched with 1st Mega Loan Mahotsav in Pimpalgaon in
Maharashtra.
HDFC First Bank to retail silver bars in India
In 2011 HDFC signed MOU with Indian Army for total Salary Solutions. HDFC 5000th ATM was
launched at Swami Narayan Chowk Rajkot

• 2012

HDFC launches ‘Solitaire’ range of women’s Credit Cards

HDFC Bank and Vodafone India launch m-paisa – a product for financial inclusion
Leh Branch launched
HDFC launches Tax payment facility through ATM
Bouquet of premium Travel Credit Cards launched
HDFC launches INFINIA Credit Card
HDFC 2000th Branch inaugurated at Mangaliya Sadak near Indore
In 2012 the company incorporated a new wholly owned subsidiary namely HDFC Education and
Development Services Pvt Ltd. HDFC launched `Solitaire' range of women's Credit Cards. HDFC
Bank and Vodafone India launch m-paisa - a product for financial inclusion. The company also
launches Tax payment facility through ATM and also a Bouquet of premium Travel Credit Cards.

• 2013

HDFC Mutual Fund Acquires the Schemes of Morgan Stanley Mutual Fund
HDFC - Board recommends Dividend
The company also launches INFINIA Credit CardIn 2013 HDFC Mutual Fund Acquires the
Schemes of Morgan Stanley Mutual Fund.

44
• 2014

HDFC launches fixed rate home loan; lowers deposit rate

HDFC - Board recommends Dividend
HDFC Re-launches ‘TRUFIXED'

• 2015

HDFC Life gets nod to up foreign partner stake.

FDI boost for HDFC as FIPB clears Standard Life's proposal.
HDFC launches Women Power.
HDFC launches its first school 'The HDFC School' in Gurgaon.
In 2015 HDFC Life gets nod to up foreign partner stake -FDI boost for HDFC as FIPB clears
Standard Life's proposal. HDFC launches its first school 'The HDFC School' in Gurgaon.
HDFC announced a reduction in its Retail Prime Lending Rate (RPLR) by 20 basis points with
effect from 13 April 2015. On 8 June 2015 a Committee of the Board of Directors of the Company
approved a proposal for simultaneous offering of Secured Redeemable Non-Convertible
Debentures of up to Rs. 5000 crores along with warrants convertible into equity shares. On 14
August 2015 HDFC announced that it had agreed to sell 17.95 crore shares of HDFC Standard Life
Insurance Company Limited (HDFC Life) in favour of its joint venture partner Standard Life
(Mauritius Holdings) 2006 Limited at a price of Rs 95 per share aggregating to 9% of the issued
and paid-up share capital of HDFC Life. Post the stake sale; HDFC' s holding in HDFC Life will
drop to 61.65%. HDFC announced a reduction in its Retail Prime Lending Rate (RPLR) by 25 basis
points with effect from 6 October 2015. HDFC's Board of Directors at its meeting held on 26
October 2015 granted in-principal approval for establishment of a Sponsored Level 1 ADR
programme in respect of up to 10% of the issued and paid-up share capital of the company. The
Sponsored ADR programme envisages conversion of existing equity shares of the company into
ADRs and does not entail any issue of additional shares.

45
• 2016

HDFC prices first Rupee Denominated Bond.

On 7 January 2016 HDFC announced that HDFC Capital Affordable Real Estate Fund-1
(HCARE1) an Alternative Investment Fund (AIF) sponsored by the company has received an
aggregate commitment for an amount of Rs. 2700 crore from various investors. The targeted fund
size is approximately Rs. 5000 crore and the first close will be Rs. 2700 crore. The tenure of the
fund will be 12 years and it will invest in the long-term equity of mid income housing. HDFC
Capital Advisors Limited a wholly owned subsidiary of HDFC has been appointed as an investment
manager for HCARE-1. On 3 June 2016 HDFC announced that it had completed the transfer of
12.33 crore shares of its subsidiary HDFC ERGO General Insurance Company Limited (HDFC
ERGO) representing 22.902% stake in HDFC ERGO in favour of its joint venture partner ERGO
International AG. HDFC further said that it made pre-tax profit of Rs. 922 crore and post-tax profit
of Rs. 725 crores from this transaction. On 17 December 2015 HDFC had agreed to sell 22.902%
stake in HDFC ERGO to ERGO International at a price of Rs. 90.973 per share for aggregate
consideration of Rs. 1122 crore. On 14 July 2016 HDFC announced that it had successfully priced
Rs 3000-crore overseas issue of unrated rupee denominated bonds. HDFC thus became the first
Indian corporate issuer of rupee denominated bonds overseas. Rupee-denominated bonds are
instruments through which Indian entities can raise funds in overseas capital markets while the
bond investors hold the currency risk. HDFC's Board of Directors at its meeting held on 27 July
2016 granted in-principal approval for the amalgamation of five wholly-owned subsidiaries viz.
Grandeur Properties Private Limited Haddock Properties Private Limited Winchester Properties
Private Limited Pentagram Properties Private Limited and Windermere Properties Private Limited
into HDFC. The area of business of these five subsidiaries is receiving of rental income on
commercial properties. On 18 November 2016 HDFC announced that it has assigned its
outstanding loans to the Unitech group to JM Financial Asset Reconstruction Company
(JMFARC). Against total outstanding loans of Rs. 869 crores to the Unitech group JMFARC paid
HDFC Rs. 155 crores upfront and issued Security Receipts (SRs) to HDFC amounting to Rs. 705
crores to be redeemable over the period of construction of Unitech's projects.

46
On 8 August 2016 HDFC Life and Max Group Entities had announced a proposal for the merger
of their life insurance business through a composite scheme of arrangement and had entered into
certain definitive agreements to implement the merger. On 17 June 2016 the Board of Directors of
HDFC Standard Life Insurance Company Max Life Insurance Company and Max Financial
Services approved entering into a confidentiality exclusivity and standstill agreement to evaluate a
potential combination through a merger of Max Life Insurance Company and Max Financial
Services with HDFC Standard Life Insurance Company by way of a scheme of arrangement.

• 2017

Housing Development Finance Corporation Ltd. has launched a new project "The Nest" at Mulund,
Mumbai, under the affordable housing brand "Budget Homes" , having 263 units open for Sale in
phase 1 of the project.
HDFC awarded with the Dun & Bradstreet Corporate Awards 2017 in the FIs / NBFCs / Financial
Services sector.
On 30 March 2017 HDFC announced that it had raised Rs. 3300 crores through the first issue of
rupee denominated bonds to overseas investors under the Medium Term Note programme. On 1
June 2017 HDFC announced that its wholly-owned subsidiary HDFC Investments Limited has
made an investment about $ 1.5 million by subscribing to 15% of the share capital of First Housing
Finance (Tanzania) the first housing finance company to be set up in Tanzania. On 22 June 2017
HDFC executed a subscription agreement with International Finance Corporation Washington
(IFC) whereby IFC decided to subscribed to the rupee denominated bonds to be issued overseas by
HDFC up to an amount of Rs. 1300 crore. On 26 July 2017 HDFC's Board of Directors granted
approval for issue of Secured Redeemable Non-Convertible Debentures (NCD) aggregating to Rs
35000 crore on a private placement basis under a Shelf Disclosure Document. On 28 July 2017
HDFC announced that it had approved offering of up to 19.12 crore equity shares of Rs 10 each of
HDFC Standard Life Insurance Company (HDFC Life) representing 9.57% of the paid up and
issued share capital of HDFC Life for sale in the initial public offer of HDFC Life. HDFC Life will
continue to be a subsidiary of HDFC after the IPO. On 31 July 2017 HDFC Standard Life Insurance
Company and Max Group entities announced that they had called off the proposed merger of their

47
life insurance business since the parties were unable to obtain the requisite regulatory approvals to
consummate the proposed merger and other transactions contemplated under the definitive
agreements for the merger.
On 14 August 2017 the Insurance Regulatory & Development Authority of India granted its final
approval for the merger of HDFC ERGO General Insurance Company Limited (HDFC ERGO) a
subsidiary of the company with HDFC General Insurance Company Limited (formerly L&T
General Insurance Company). On 9 September 2016 HDFC ERGO announced that it had
completed the acquisition of 100% shares of L&T General Insurance Company Limited for Rs 551
crore. On 3 June 2016 the Board of Directors of HDFC ERGO had approved the acquisition of
100% stake in L&T General Insurance Company Limited for an aggregate amount of Rs. 551 crores
subject to receipt of requisite approvals. On 16 November 2017 HDFC announced that it had raised
Rs. 1300 crore from the issue of rupee denominated bonds to International Finance Corporation
Washington under the Medium-Term Note Programme. On 30 November 2017 HDFC approved
offering a part of its shareholding in its subsidiary HDFC Asset Management Company Limited
(HDFC AMC) through offer for sale in the initial public offer (IPO) of HDFC AMC. As on 30
September 2017 HDFC held 57.36% stake in HDFC AMC. HDFC's Board of Directors at its
meeting held on 19 December 2017 approved subscription to the securities offered by HDFC Bank
on preferential basis up to an amount not exceeding Rs 8500 crore. The board also approved raising
funds through issue of equity shares and/or other permissible securities up to an aggregate amount
not exceeding Rs. 13000 crores. On 20 December 2017 HDFC approved the sale of 6.3% stake in
Computer Age Management Services Private Limited (CAMS) to Great Terrain Investment Ltd
Mauritius an affiliate of Warburg Pincus group for a total consideration of Rs 209.50 crore. After
completion of the sale HDFC's holding in CAMS will drop to 4.8% of the equity capital of CAMS.
On 21 December 2017 HDFC approved the sale of 100% of its equity share capital in HDFC
Developers Limited which runs the HDFC Red platform and HDFC Realty Limited a real estate
brokerage platform to Quikr for total consideration of Rs. 101.99 crore and Rs. 254.98 crore
respectively.

• 2018

48
Pursuant to receipt of approval of the members through Postal Ballot in February 2018 the
Corporation issued 64329882 equity shares of Rs 2 each at an issue price of Rs 1726.05 per equity
share on preferential basis in accordance with the provisions of Chapter VII of the SEBI (Issue of
Capital and Disclosure Requirements) Regulations 2009 (SEBI ICDR Regulations). The
Corporation also issued 10389041 equity shares at an issue price of Rs 1825 per equity share to
QIBs on a qualified institutions placement basis in accordance with the provisions of Chapter VIII
of the SEBI ICDR Regulations. The Corporation raised an aggregate amount of Rs 13000 crore
from both the issuances. In October 2015 the Corporation had issued 3.65 crore warrants at an issue
price of Rs 14 per warrant with a right exercisable by the warrant holder to exchange each warrant
for one equity share of Rs 2 each of the Corporation at any time on or before October 05 2018 at a
warrant exercise price of Rs 1475 per equity share to be paid by the warrant holder at any time of
exchange of the warrants. As at March 31 2018 514600 warrants have been exercised and
exchanged into 514600 equity shares of Rs 2 each of the Corporation. The equity shares so issued
rank pari passu with the existing shares of the Corporation. In January 2018 the Corporation sold
its entire stake in its wholly owned subsidiary companies HDFC Developers Limited and HDFC
Realty Limited to Quikr India Private Ltd. Consequently, HDFC Realty Limited and HDFC
Developers Limited ceased to be subsidiaries of the Corporation with effect from 24 January
2018.During the year 2018 the Corporation approved offering of up to 4.08% of the paid up and
issued equity share capital of HDFC Asset Management Co. Ltd. (HDFC AMC) a subsidiary of the
Corporation for sale in the IPO of HDFC AMC. The Board of Directors at its earlier meeting held
on 27 July 2016 had approved the scheme of amalgamation of five of its wholly- owned subsidiaries
Windermere Properties Private Limited Haddock Properties Private Limited Grandeur Properties
Private Limited Winchester Properties Private Limited and Pentagram Properties Private Limited
with itself. The applications for the proposed merger were filed with the NCLT Mumbai bench and
in March 2018 the scheme of amalgamation was approved by the NCLT. The order was filed with
the Registrar of Companies Mumbai on April 27 2018. Accordingly, the Corporation has
considered the operations of the said subsidiaries from April 1 2016 as its own operations and
accounted for the same in its books of accounts after making necessary adjustments. During the
year 2018 the Corporation sold individual loans amounting to Rs. 6453 crores of which Rs. 1850
crore qualified as priority sector advances for banks. The corporation's Assets Under Management
(AUM) as at 31 March 2019 amounted to Rs 461913 crore as compared to Rs 402880 crore in the

49
previous year. On an AUM basis the growth in the individual loan book was 17% and the
nonindividual loan book was 8%. The growth in the total loan book on an AUM basis was 15%.

• 2019

During the FY2019 the Corporation's loan book increased from Rs 362811 crore to Rs 406607
crore as at 31 March 31 2019. In addition, total loans securitised and/or assigned by the Corporation
and outstanding as at 31 March 2019 amounted to Rs 55306 crore. During the fiscal 2019 the
Corporation sold individual loans amounting to Rs 25150 crore (Previous Year: Rs 6453 crore). Of
this Rs 23982 crore was assigned to HDFC Bank pursuant to the buyback option embedded in the
home loan arrangement between the Corporation and HDFC Bank and Rs 1168 crore was assigned/
securitised to another bank. Of the total loans sold during the year Rs 5316 crore qualified as
priority sector advances for banks. As at 31 March 2019, the investment portfolio stood at Rs 46240
crore compared to Rs 30717 crore in the previous year. As at 05 October 2018, 36499471 warrants
had been lodged for exchange with equity shares of the Corporation representing 99.99% of the
warrants issued. Accordingly, the Corporation issued and allotted 36499471 equity shares of Rs 2
each and realised an amount of Rs 5384 crore (of which Rs 5308 crore was received during the
year). During the year 2019 the Corporation raised an amount of Rs 48177 crore through secured
redeemable non-convertible debentures (NCDs) issued in various tranches on a private placement
basis. . The NCD issues have been assigned the highest rating of `CRISIL AAA/Stable' and `ICRA
AAA/Stable. In July 2018 the Corporation raised an ECB of USD 750 million in the form of a
syndicated loan facility. The Corporation also raised an ECB of JPY 53.2 billion (USD 486 billion
equivalent) in December 2018. As on 31 March 2019 the Corporation has 18 subsidiaries and 4
associate companies under its roof.

• 2020

50
The corporation's Assets Under Management (AUM) as at 31 March 2020 amounted to Rs 516773
crore as compared to Rs 461913 crore in the previous year. On an AUM basis the growth in the
individual loan book was 14% and the non-individual loan book was 6%. The growth in the total
loan book on an AUM basis was 12%. During the FY2019 the Corporation's loan book increased
from Rs 406607 crore to Rs 450903 crore as at 31 March 31 2020. In addition, total loans securitised
and/or assigned by the Corporation and outstanding as at 31 March 2020 amounted to Rs 65870
crore. As at 31 March 2020 the investment portfolio stood at Rs 64944 crore compared to Rs 46240
crore in the previous year. In May 2019 the Corporation raised an ECB of USD 200 million in the
form of a syndicated loan facility. The ECB was for a tenor of 3 years. As on March 2020 the risk
weighted assets of the corporation stood at around Rs 393000 crore. As on 31 March
2020 the Corporation has 19 subsidiaries and 3 associate companies under its roof. During the
FY2020 the corporation has issued NCDs amounting to Rs 46190 crore from series V-005 to V008
and W-001 to W-010.Consequent to the outbreak of COVID-19 pandemic the Indian government
had announced lockdown in March 2020. Subsequently the lockdown has been lifted by the
government in a phased manner outside specified containment zones. The corporation has acquired
51.16% stake HDFC ERGO Health Insurance Ltd subsequent to this HDFC ERGO became the
subsidiary of the corporation. During December 2020 the Corporation has sold 2548750 equity
shares of HDFC Life Insurance Company Limited (HDFC Life) and complied with the direction
from the RBI to reduce the shareholding in HDFC Life to 50% or below. As a result a pre-tax profit
on sale of investments of Rs 157.10 Crore has been recognised in the quarter ended 31 December
2020 and the Corporation's equity shareholding in HDFC Life stood at 49.99%.In December 2020
the Corporation raised additional capital through a Qualified Institutions Placement of 568 18 181
equity shares at a price of Rs 1760 per share and 17057400 convertible warrants at an issue price
of Rs 180 per warrant with a right to exchange one warrant with one equity share of Rs 2 each any
time before the expiry of 36 months from the date of allotment at an exercise price of Rs 2.165 per
warrant. In December 2020 the National Company Law Tribunal has sanctioned the Scheme of
Amalgamation for merger of HDFC ERGO Health Insurance Limited (formerly Apollo Munich
Health Insurance Company Limited) (HDFC ERGO Health) with and into HDFC ERGO General
Insurance Company Limited (HDFC ERGO) subsidiaries of the Corporation and Insurance
Regulatory and Development Authority of India (IRDAI) has issued final approval for the merger.

51
Consequently, HDFC ERGO Health has been merged with HDFC ERGO from appointed date i.e.,
01 March 2020.

• 2021

As at the end of March 2021 the Corporation's holding in HDFC ERGO the merged entity is
50.56%. As per the directions of RBI the Corporation is required to reduce its shareholding in the
merged entity to 50% or below within 6 months post amalgamation. During the year 2020-21 the
Corporation has sold 28548750 equity shares of HDFC Life Insurance Company Limited (HDFC
Life) in two tranches in May 2020 and November 2020 to comply with the RBI direction to reduce
the shareholding in HDFC Life to 50% or below. As a result, a pre-tax profit on sale of investments
of Rs 1240.59 crore and Rs 157.10 crore has been recognised in the respective periods and
aggregate profit of Rs 1397.69 Crore for the year ended 31 March 2021. Consequently, the
Corporation's equity shareholding in HDFC Life stood at 49.99% as on 31 March 2021.The Assets
Under Management (AUM) as at 31 March 2021 amounted to Rs 569894 crore as compared to Rs
516773 crore in the previous year. On an AUM basis the growth in the individual loan book was
12%. The growth in the total loan book on an AUM basis was 10%. The Corporation's outstanding
loan book stood at Rs 498298 crore as at 31 March 2021 compared to Rs 450903 crore in the
previous year. During the year total Deposits outstanding as at 31 March 2021 amounted to Rs
150131 crore as compared to Rs 132324 crore in the previous year resulting a growth of 13%.
HDFC Credila Financial Services Limited a wholly owned subsidiary of the Corporation was
converted into a public limited company (from a private limited company) with effect from 08
October 2020. During the quarter ended 30 June 2021 the Corporation has sold its entire holding
i.e., 4775241 equity shares representing 24.48% of the equity capital of Good Host Spaces Private
Limited (Good Host). As at 30 June 2021 the assets under management stood at Rs 574136 crore
as against Rs 531186 crore in the previous year. As at 30 June 2021 individual loans comprise 78%
of the Assets Under Management (AUM). On an AUM basis the growth in the individual loan book
was 14% and growth in the total loan book was 8%. The growth in the individual loan book after
adding back loans sold in the preceding 12 months was 22%. The growth in the total loan book
after adding back loans sold was 12%. The Board of Directors of the HDFC Life Insurance

52
Company Limited (HDFC Life) a subsidiary company of the Corporation has approved the Share
Purchase and Share Swap Agreement between HDFC Life Exide Industries Limited and Exide Life
Insurance Company Limited (Exide Life) in connection with the acquisition of 100% of the share
capital of and subsequent merger of Exide Life into HDFC Life for a total consideration of ~ 6687
crore subject to necessary regulatory approvals. As at 30 September 2021 the assets under
management stood at Rs 597339 crore as against Rs 540270 crore in the previous year. As at 30
September 2021 individual loans comprise 78% of the Assets Under Management (AUM). On an
AUM basis the growth in the individual loan book was 16% and growth in the total loan book on
an AUM basis was 11%. During the quarter ended 30 September 2021the growth in the individual
loan book after adding back loans sold in the preceding 12 months was 23%. The growth in the
total loan book after adding back loans sold was 15%.

53
 CHAPTER 6: FUTURE OF THE COMPANY

HDFC Bank and HDFC Ltd announced the merger of the two entities, setting the stage for one of
the biggest deals in the Indian financial sector. The announcement of the merger led to a sharp
rise in the share prices of the two entities which were up by over 7 per cent in the early trading
hours.
HDFC Bank said that the transaction is expected to close over the next 18 months, subject to
completion of regulatory approvals and other customary closing conditions.
As per the transaction structure, HDFC Limited, India’s largest housing finance company with
Assets Under Management (AUM) worth Rs 5.26 trillion and a market cap of Rs 4.44 trillion will
merge with HDFC Bank, India’s largest private sector bank by assets with a market cap of Rs
8.35 trillion.
The subsidiary or associates of HDFC Limited will also be transferred to HDFC Bank
Post the merger, HDFC Limited’s shareholding in HDFC Bank will be extinguished and HDFC
Bank will be 100 per cent owned by public shareholders. Existing shareholders of HDFC Limited
will own 41% of HDFC Bank.
While this will improve the ability to cross-sell products to a larger customer base, the move will
help them leverage their distribution across urban, semi-urban and rural geographies. The
combined balance sheet of Rs 17.87 trillion and Rs 3.3 trillion net worth will enable larger
underwriting at scale.

54
 CHAPTER 7: CONCLUSION

The project helped the researcher to study about the firm and its general management practices and
insights in deep by understanding the policies, standards and decision making process. HDFC is on
a spree of ramping up its decision making process. Currently, company is chopping off its
organizational layers to clear off the channel between customer and Credit appraisal team. The
move is considered as company’s step to enhance its decision making process as now.
The firm follows stricter rules and regulations relating to employee’s behaviour or
performance appraisal and also concerned about the ethics and morale that everyone should adhere
to. The history of the company shows the hard paths that the company had to walk in order to
become the leading private lender in India. We can see how through smart decision making and
investments, it was able to build a small mortgage lending firm into a company with a market
capitalization in lakhs. At, last having seen the performance of HDFC in recent years with incomes
and profits are on increasing spree and focused plans for future it will definitely maintain its
leadership in the industry.

55
 CHAPTER 8: BIBLIOGRAPHY

• Dr. Ashwani Kumar Bhalla (2008), Housing Finance in India: Development, Growth and
Policy Implications, PCMA Journal of Business, Vol.1, No. 1, pp. 51-63, December 2008.
• Joshi, Manoj and Joshi, Vindhyalaya (2007), Housing Development and Finance Corporation:
The Indian Housing & Services Provider.
• Mathew Varughese (2013), An evaluation of the contribution of HDFC Ltd to the housing
sector, Appendix p.161-178, Department of Commerce and Research Centre.
• Debarati Guha (2020), An Insight into the Performance of Housing Development Finance
Corporation Ltd. in the Housing Finance Sector in India, Business Spectrum (ISSN: 22494804)
Special Volume March 2020
• Vidyarthi, K. (2001). Role of Urban Hosuing Finance Institutions - A Study of Selected
Housing Finance Corporations
• Jasmindeep Kaur Brar and J.S. Pasricha (2005), Performance of housing finance companies,

56
 CHAPTER 9: REFERENCES

Websites:

• www.wikipedia.com
• www.business-standard.com
• www.moneycontrol.com
• www.economictimes.com
• www.goodreturns.in
• www.hdfc.com
• www.businesstoday.in

57
PLAGIARISM REPORT

58
59