Money & Banking

SBI shareholding in YES Bank reduces to 30%

Our Bureau. Mumbai | Updated on July 28, 2020 Published on July 28, 2020

State Bank of India’s shareholding in YES Bank has come down from 48.21 per cent to 30 per cent following the latter’s further public offering (FPO).

India’s largest bank had also participated in YES Bank’s FPO, which opened on July 15 and closed on July 17, investing ₹1,760 crore.

“We advise that there is change in the percentage shareholding of the bank in YES Bank by more than 2 per cent consequent to Further Public Offering by YES Bank Ltd,” said SBI in a stock exchange filing.

SBI’s shareholding in the private sector lending has come down as 12 anchor investors, including Bay Tree India Holdings, HDFL Life, Amansa Holdings and Jupiter India Fund, collectively invested ₹4,098 crore in the FPO.

Further, a total of 27 institutions bid for the qualified institutions buyers (QIB) portion of the FPO.

SBI had invested ₹6,050 crore in March 2020 to pick up 48.21 per cent stake in YES Bank as part of an RBI-supervised plan to put the latter back on the rails.

As per the ‘YES Bank Reconstruction Scheme 2020’, SBI cannot reduce its holding below 26 per cent before completion of three years from the date of infusion of the capital.

YES Bank’s FPO had achieved the minimum required subscription of 90 per cent of its total size to sail through. The bank had originally planned to raise up to ₹15,000 crore.

Follow us on Telegram, Facebook, Twitter, Instagram, YouTube and Linkedin. You can also download our Android App or IOS App.

Published on July 28, 2020
  1. Comments will be moderated by The Hindu Business Line editorial team.
  2. Comments that are abusive, personal, incendiary or irrelevant cannot be published.
  3. Please write complete sentences. Do not type comments in all capital letters, or in all lower case letters, or using abbreviated text. (example: u cannot substitute for you, d is not 'the', n is not 'and').
  4. We may remove hyperlinks within comments.
  5. Please use a genuine email ID and provide your name, to avoid rejection.