Business Today
Loading...
YES Bank share price falls 3% even as another investor commits $120 million fund infusion

YES Bank share price rose to Rs 65.35 compared to the previous close of Rs 64.05 on BSE. The stock opened at Rs 64.10 on BSE

YES Bank share price falls 3% even as another investor commits $120 million fund infusion

At 10:07 am, the stock of YES Bank was trading 3 percent lower at Rs 62.10

YES Bank share price opened marginally higher today amid a report that Capital International, part of the $1.87-trillion US-based Capital Group, has committed to invest at least $120 million in the private sector lender. YES Bank share price rose to Rs 65.35 compared to the previous close of 64.05 on BSE. The stock opened at 64.10 on BSE.

At 10:07 am, the stock was trading 3 percent lower at Rs 62.10. On Monday, YES Bank share price closed 6.22% or 4.25 points lower at Rs 64.05 compared to the previous close of Rs 68.30 on BSE.

Erwin Singh Braich: The Canadian businessman who has committed $1.2 billion in Yes Bank

The stock has not reacted positively to the announcements post the much awaited board meeting held on Friday to consider raising of funds. It turned negative on Monday in absence of well known names the lender had disclosed on Saturday for the purpose of fund infusion.

On Saturday, YES Bank said it would raise up to $2 billion through preferential allotment of shares from several investors. The rest of the shares would be taken up by private equity investors. Canadian billionaire Erwin Singh Braich/ SPGP Holdings, Discovery Capital, GMR Group and Associates, Rekha Jhunjhunwala, Aditya Birla Family Office and Ward Ferry are the names among the list of potential investors which the lender has mentioned post its board meeting on Friday.

The private sector lender has decided to raise up to $2 billion through preferential allotment of shares from several investors. On December 10, the board of directors of YES Bank would meet to finalise and approve the details of the preferential allotment as well as to get approval of the shareholders.

The preferential allotment would be subject to regulatory clearance. The bank cannot allot equity shares constituting more than 25 per cent of its share capital, according to a Reserve Bank of India communication received by the lender.

By Aseem Thapliyal

Get latest news & live updates on the go on your phone with our News App. Download The Business Today news app on your device
More from MARKETS