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YES Bank to raise ₹8,900cr from global private equity investors
August 01, 2022
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Yes Bank on Friday (29 July 2022) announced raising equity capital of about $1.1 billion (₹8,900 crore) from funds affiliated with two global private equity investors – Carlyle and Advent International, with each investor potentially acquiring upto a 10.0% stake in Yes Bank. This will be raised through a combination of ~$640 million (₹5,100 crore) in equity shares and ~$475 million (₹3,800 crore) through equity share warrants.
The capital raise will further bolster the capital adequacy of Yes Bank and aid the bank’s medium to long-term sustainable growth objectives. Once approved, this would be one of the largest private capital raises by an Indian private sector bank.
The bank proposes to issue about 370 crore equity shares on a preferential basis at a price of ₹13.78 per share and about 257 crore warrants convertible into equity shares at a price of ₹14.82 per warrant, adding ₹8,900 crore to the equity capital base of the bank.
Prashant Kumar, managing director & chief executive officer, Yes Bank said, “We are extremely pleased to onboard such pedigreed investors like Carlyle and Advent International as our partners, in fulfilling the long-term strategy of the Bank. This is a testimony to the inherent strength of the Bank’s franchise. We are excited about the incremental opportunities that this partnership creates for us and confident that both the investors will play a crucial role in the next growth phase of the Bank.”
Important Links:
- 4-IN-1 Professional Diploma in Banking, Financial Services & Insurance (PDBFSI): https://tscfm.org/courses/4-in-1-professional-diploma-in-banking-financial-services-insurance-pdbfsi/