Yes Bank Ltd, India’s fifth largest private-sector lender by assets, has had a tumultuous couple of months since the country's central bank trimmed extension to its chief executive officer's (CEO's) term in September.

The move by the Reserve Bank of India, which has already clamped down on the financial sector due to rising levels of bad loans, has hit Yes Bank’s share price hard and also spurred several departures in the company’s top brass.

The developments since September 19 have wiped off over Rs 29,000 crore ($4.06 billion) from the company's market value, as of Tuesday's close.

AS IT HAPPENED
  • : Yes Bank's shareholders approve Rana Kapoor's re-appointment as managing director (MD) and CEO for three years from September 1.
  • : The bank gets RBI's nod for Kapoor to continue as MD and CEO till further notice from the central bank.
  • : The RBI cuts short Kapoor's term till January 31, 2019.
  • : On the first day of trade after the RBI's announcement, YES Bank shares tank over 30 per cent, and the lender loses as much as $3.1 billion in market value. Market insiders say the RBI's move exemplifies its increasingly assertive approach in tackling the bad debt problem plaguing India's banking sector.
  • : The bank’s board decides to seek the RBI’s nod to extend Kapoor's term until at least April 30, 2019, says it will form a committee to search for Kapoor’s successor.
  • : Kapoor, in a tweet, says he remains committed to interests of the bank and its stakeholders. He also says he will never sell his promoter shares, but pass them on to his daughters.
  • Rating firm CARE Ratings places YES Bank's debt instruments under ‘credit watch with developing implications’, citing the RBI's move to restrict Kapoor's term.
  • : The bank names TS Vijayan, former chairman of India's insurance regulator, and OP Bhatt, former chairman of State Bank of India, as external experts of the search and selection committee
  • : YES Bank appoints advisory firm Korn Ferry to help find a new CEO.
  • : The RBI refuses to give Rana Kapoor more time at the bank and asks the lender to find a new CEO by February 1, 2019. YES Bank says it aims to complete the recruitment process by mid-Dec.
  • : YES Bank's second-quarter profit misses estimates by a wide berth as provisions for bad loans and mark-to-market losses more than double, and asset quality deteriorates.
  • The lender also says it has an exposure to debt-laden Infrastructure Leasing and Financial Services.
  • : The bank's CEO search panel finalises a potential candidate profile. Korn Ferry also shares a list of candidate pool.
  • : Media report says YES Bank has sought guidance from the RBI on Ashok Chawla continuing as chairman after being named in a corruption chargesheet.
  • : Ashok Chawla resigns from YES Bank's board. Vasant Gujarathi also steps down as independent director.
  • : OP Bhatt resigns as an external expert of the search and selection committee, due to “potential conflict of interest”.
  • : Independent director Rentala Chandrashekhar resigns
  • : Yes Bank says that selection process for the MD and CEO is on track, recent resignations of board members bear no impact. Efforts are under way for mutual resolution between Rana Kapoor and Madhu Kapur and her family, the co-promoter. The board now consists of seven members, after addition of Uttam Prakash Agarwal.

Related Topics
comment COMMENT NOW