Capital First Strategy, Loan Growth and Profitability Trends
Section 1: The Founding of IDFC FIRST Bank..
In January 2018, Erstwhile IDFC Bank and Erstwhile Capital First announced a merger. Shareholders of Erstwhile
Capital First were to be issued 13.9 shares of the merged entity for every 1 share of Erstwhile Capital First.
Thus, IDFC FIRST Bank was founded as a new entity by the merger of Erstwhile IDFC Bank and Erstwhile Capital
First on December 18 2018.
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After the merger, in the last 2 years, the Bank invested in the people, processes, products, infrastructure and technology
to put together all the necessary building blocks of a stronger foundation who is essential for a long term sustainable
growth engine.
Between 2018-2020 the Bank accounted for Infrastructure and Corporate loan that turned bad during this period and
thus the Book Value per share reduced from Rs. 38.4 as at December 31, 2018 to Rs. 31.90 as at March 31, 2020.
The Bank now has a strong liability engine driven by the Retail Deposits including CASA and poised for the Balance Sheet
growth from here onwards.
Section 1: The Founding of IDFC FIRST Bank
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IDFC FIRST
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