- Yes bank is about to seek its shareholder’s approval for raising funds using various instruments..
- It closed at a price of 13.40 today, down 2.69% from its previous close.
- Deposits have increased by 30%, showing that it is regaining customers’ trust.
Yes Bank plans to raise funds through various instruments however, it has not specified how much money it intends to raise. In June, this year, its board of directors had approved raising ₹10000 crores by the issue of debt securities.
A meeting of the board of directors of Yes Bank is scheduled to be held on December 21 to consider seeking shareholders’ approval, the bank said in a regulatory filing on Thursday.
Funds will be raised using various instruments including equity and bonds, and it will seek shareholders’ approval in a meeting of the board of directors next week.
Yes Bank said the board meeting will seek shareholders’ nod for raising funds by the issue of equity shares or depository receipts, convertible bonds or debentures, warrants or any other equity-linked securities.
The lender said the existing approval of the shareholders to raise capital is valid till February 28, 2022.
In March this year, the bank’s shareholders had approved with a majority for a Rs 10,000-crore fund mop-up by way of equity or other securities.
Shares of Yes Bank on Thursday closed at Rs 13.40 apiece on the BSE, down 2.69 per cent from the previous close.
For the September quarter, it reported a net profit of 225 Crores and its provisions for bad loans declined 65% YOY to 377 Crores.
It reported an improvement in its asset quality as its gross non-performing loans ratio fell to 15% from 15.6% and its NPA fell from 5.8% to 5.5% as compared to the previous quarter.
Further, the deposits increased by 30%, indicating that it is winning back the trust of its customers.
