YES Bank rises 2% as RBI gives conditional nod to Carlyle, Advent for stake buy
YES Bank said the RBI has issued a conditional approval to each investor with respect to the proposed acquisition by each of them of up to 9.99 per cent of paid up share capital through subscription to equity shares and share warrants
- Dec 2, 2022,
- Updated Dec 2, 2022 9:36 AM IST
Shares of YES Bank rose 2 per cent in Friday's trade after the RBI gave conditional approval to US private equity firms Advent International and Carlyle Group Inc for their purchase of a combined 20 per cent stake in YES Bank.
In a BSE filing, the private lender said the central bank has issued a conditional approval to each investor with respect to the proposed acquisition by each of them of up to 9.99 per cent of paid up share capital of the bank through subscription to equity shares and share warrants of the bank.
Following the development, the stock climbed 2.34 per cent to hit a high of Rs 17.45 on BSE.
Investors are evaluating the conditions, YES Bank said. The investments are proposed by CA Basque Investments, a Carlyle Group firm and Verventa Holdings that is affiliate of funds managed by Advent.
"The investors and the bank will engage with the RBI to seek an early resolution of the conditions to procure the final approval on this matter," YES Bank said on Thursday.
Subject to approval of the shareholders of the bank, the YES Bank board has approved to create, offer, issue and allot by way of a preferential allotment on a private placement basis, an aggregate of up to 128,37,94,771 share warrants each to
CA Basque Investments and Verventa Holdings at a price of Rs. 14.82 per share warrant. Besides, they two investors will be allotted up to 369,61,55,702 shares each at a price of Rs. 13.78 a piece.
Yes Bank had, in July, said it would raise $1.1 billion from Carlyle and Advent for a 10% stake each in the bank, as it looked to boost its capital and fund growth.
The funds were to be raised by issuing shares worth $640 million and share warrants worth $475 million.
Shares of YES Bank rose 2 per cent in Friday's trade after the RBI gave conditional approval to US private equity firms Advent International and Carlyle Group Inc for their purchase of a combined 20 per cent stake in YES Bank.
In a BSE filing, the private lender said the central bank has issued a conditional approval to each investor with respect to the proposed acquisition by each of them of up to 9.99 per cent of paid up share capital of the bank through subscription to equity shares and share warrants of the bank.
Following the development, the stock climbed 2.34 per cent to hit a high of Rs 17.45 on BSE.
Investors are evaluating the conditions, YES Bank said. The investments are proposed by CA Basque Investments, a Carlyle Group firm and Verventa Holdings that is affiliate of funds managed by Advent.
"The investors and the bank will engage with the RBI to seek an early resolution of the conditions to procure the final approval on this matter," YES Bank said on Thursday.
Subject to approval of the shareholders of the bank, the YES Bank board has approved to create, offer, issue and allot by way of a preferential allotment on a private placement basis, an aggregate of up to 128,37,94,771 share warrants each to
CA Basque Investments and Verventa Holdings at a price of Rs. 14.82 per share warrant. Besides, they two investors will be allotted up to 369,61,55,702 shares each at a price of Rs. 13.78 a piece.
Yes Bank had, in July, said it would raise $1.1 billion from Carlyle and Advent for a 10% stake each in the bank, as it looked to boost its capital and fund growth.
The funds were to be raised by issuing shares worth $640 million and share warrants worth $475 million.