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Private sector lender Yes Bank has said that its promoters and the family of its co-founder Ashok Kapur have agreed to have their shareholding reclassified as non-promoters or public shareholders.
“This is to inform that the Bank has received a letter dated May 28, 2020 (received on May 29, 2020) from Madhu Ashok Kapur, Shagun Kapur Gogia, Gaurav Ashok Kapur and Mags Finvest Private Limited [collectively referred to as “Madhu Kapur Group”] consenting to reclassify their shareholding in the Bank as ‘non-promoter shareholders’ (that is public shareholders),” it said in a regulatory filing.
Reconstitution scheme
The move comes after the reconstitution scheme of Yes Bank was implemented with the State Bank of India picking up majority stake in Yes Bank.
As on March 31, 2020, Madhu Kapur Group held 1.42 per cent stake in the private sector lender with Madhu Kapur holding 1.12 per cent equity and Mags Finvest holding 0.3 per cent stake.
The bank’s other co-founder and former Managing Director and CEO Rana Kapoor and his family’s stake amounted to just 900 shares held through Yes Capital.
Both Kapoor and Kapur are still classified as promoter shareholders.
Meanwhile, as on March 31, 2020, SBI held 48.21 per cent stake in Yes Bank, followed by 7.97 per cent stake each held by HDFC and ICICI Bank.
Rana Kapoor, along with Madhu Kapur’s husband Ashok Kapur, founded Yes Bank in 2003. While Ashok Kapur was the Chairman, Rana Kapoor was the MD and CEO. Ashok Kapur was killed in the 2008 Mumbai terror attack.
Dish TV shares
Yes Bank has also invoked the pledged shares of Dish TV amounting to 24.91 per cent of its share capital.
“Shares have been acquired pursuant to invocation of pledge of the shares subsequent to default/breach of terms of credit facilities sanctioned by Yes Bank to Essel Business Excellence Services Ltd, Essel Corporate Resources, Living Entertainment Enterprises, Last Mile Online, Pan India Network Infravest , RPW Projects, Mumbai WTR and Pan India Infraprojects,” it said in a separate regulatory filing.
The bank has been working on recovery of bad loans and has from time to time invoked pledged shares.
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