Yes Bank shares fall 7% ahead of board meeting to raise funds
Published on 03/06/2025 09:24 AM
Yes Bank shares fall 7% ahead of board meeting to raise fundsYes Bank was the third-best performer on the Nifty 500 index on Tuesday, ending with gains of over 8%. The stock has rallied 30% in the last one month.By Hormaz Fatakia June 3, 2025, 9:24:29 AM IST (Updated)2 Min ReadShares of Yes Bank Ltd., the Mumbai-based private lender, fell as much as 7.5% on Tuesday, June 3, ahead of its board meet to consider a fund raising proposal.
Multiple block deals have taken place in the stock as well. Sources tell CNBC-TV18 that a leading Private Equity firm is the likely seller in the transaction.
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 are trading 6.8% lower in early trading on Tuesday at ₹21.7. As of Monday's close, the stock had risen 30% in the last one month.Continue ReadingFirst Published: Jun 3, 2025 5:07 AM ISTCheck out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!TagsYES BankYes Bank fundraisingYes Bank Share PriceYes Bank Shares