Shares of Yes Bank Ltd., the Mumbai-based private lender, will again be in focus on Tuesday, June 3, ahead of its board meet to consider a fund raising proposal.
The stock was the third-best performer on the Nifty 500 index on Tuesday, ending with gains of over 8%, after media reports suggested that Sumitomo Mitsui Banking Corporation (SMBC), which recently acquired a stake in the lender, is seeking approval from the Reserve Bank of India for a license to operate a wholly-owned subsidiary, a move touted as one to acquire a controlling stake in Yes Bank.
In response, the bank issued a clarification in to the exchanges in the early hours of Tuesday, that it is not privy to discussions with regards to this matter. "Further references to the bank having 'road map' discussions with the RBI are factually incorrect," Yes Bank stated further in its clarification.
Yes Bank's board will consider fund raising proposals through issuance of equity shares, debt securities or any other securities through permissible methods, including but not limited to private placement, preferential issue or any other method under applicable laws.
Last month, Sumitomo had announced that it will be acquiring a 20% stake in Yes Bank from a consortium of lenders led by State Bank of India (SBI). These consortium of lenders had rescued the bank back in 2020 from a liquidity crisis. The deal valued Yes Bank at just over $8 billion.
Shares of Yes Bank ended 8% higher on Monday at ₹23.22. The stock has rallied 30% over the last one month.
The stock was the third-best performer on the Nifty 500 index on Tuesday, ending with gains of over 8%, after media reports suggested that Sumitomo Mitsui Banking Corporation (SMBC), which recently acquired a stake in the lender, is seeking approval from the Reserve Bank of India for a license to operate a wholly-owned subsidiary, a move touted as one to acquire a controlling stake in Yes Bank.
In response, the bank issued a clarification in to the exchanges in the early hours of Tuesday, that it is not privy to discussions with regards to this matter. "Further references to the bank having 'road map' discussions with the RBI are factually incorrect," Yes Bank stated further in its clarification.
Yes Bank's board will consider fund raising proposals through issuance of equity shares, debt securities or any other securities through permissible methods, including but not limited to private placement, preferential issue or any other method under applicable laws.
Last month, Sumitomo had announced that it will be acquiring a 20% stake in Yes Bank from a consortium of lenders led by State Bank of India (SBI). These consortium of lenders had rescued the bank back in 2020 from a liquidity crisis. The deal valued Yes Bank at just over $8 billion.
Shares of Yes Bank ended 8% higher on Monday at ₹23.22. The stock has rallied 30% over the last one month.
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