State Bank of India (SBI) Chairman Rajnish Kumar on Tuesday said that not even a single Yes Bank share the PSB holds will be sold before three-year lock-in period. None of the banks are planning to sell their stake in private lender ahead of the three year lock-in period, the SBI chairman said while addressing the media along with Yes Bank's administrator Prashant Kumar and Ashutosh Khajuria, CFO, Federal Bank.
The SBI chief added that the private lender may receive a second round of funding in the future.
Based on the reconstruction scheme, State Bank of India and six other Indian financial institutions have infused Rs 10,000 crore as new equity capital into Yes Bank.
"On account of investment of Rs 6,050 crore in Yes Bank, SBI's stake in the bank would be 48.21 per cent," the country's largest lender informed the stock exchanges on Monday.
Meanwhile, Housing Development Finance Corporation (HDFC) would be holding nearly 10 per cent stake in Yes Bank subsequent to the implementation of the reconstruction scheme.
Last week, the government had revised the authorised capital of the reconstructed bank to Rs 6,200 crore and the number of equity shares to 3,000 crore of Rs 2 each, amounting to Rs 6,000 crore. The authorised preference share capital will continue to be Rs 200 crore.
Meanwhile, Yes Bank's administrator Prashant Kumar said that the bank will be fully functional from Wednesday 6 pm. He also said there was no need to withdraw money in panic.
"There is absolutely no issue on liquidity side from Yes Bank, all our ATMs are full of cash," Kumar told media.
The Reserve Bank of India (RBI) Governor Shaktikanta Das on Monday assured that Yes Bank depositors' money was safe. The RBI Governor had said if required, the central bank would provide liquidity to support Yes Bank. The moratorium on its depositors and creditors of Yes Bank will be lifted on March 18, 2020.
By Chitranjan Kumar