Yes Bank to raise ₹8,887 cr from Carlyle, Advent International. Details Here


Yes Bank on Wednesday received board of directors approval for allotting equity shares and equity share warrants aggregating to 8,887 crore to two global private equity investors – Carlyle and Advent International. The issuance will be on a preferential basis. Post transaction, both investors will own 9.99% each of the post-issue paid-up share capital of the bank.

As per the statement, this would be the second largest private capital raise transaction to take place in the Indian Banking Sector over the last two decades.

Yes Bank stated that the capital raise will further bolster the CET1 ratio of the bank to increase by nearly 400 bps (post-conversion of the equity share warrants) and aid the bank’s medium to long-term sustainable growth objectives.

Following this, Sunil Kaul, Managing Director and Financial Services Sector Lead for Carlyle in Asia, and Shweta Jalan, Managing Partner, Advent International, have been appointed as Additional directors to Yes Bank’s Board.

Prashant Kumar, Managing Director & Chief Executive Officer, YES BANK, said “We are extremely pleased to have two marquee global private equity investors – Carlyle and Advent International – as our partners to help fulfill the long-term strategy of the Bank.”

Kumar added, “The completion of the fundraise strengthens the Bank’s balance sheet and at the same time, allows us to further accelerate our investments in enhancing our capabilities and delivery platforms, both in digital and physical infrastructure. We are excited about the incremental opportunities that this partnership creates for us and are confident that both the investors will play a crucial role in the next growth phase of the Bank.”

Also, this marks the completion of the Bank’s capital raise which was approved by the Board of Directors on July 29, 2022, and subsequently by the shareholders of the Bank on August 24, 2022, followed by receipt of requisite regulatory approvals.

On BSE, Yes Bank shares traded at 22.60 apiece down by 5.64%. In the early deals, Yes Bank shares did touch a new 52-week high of 24.75 apiece before correcting. Currently, Yes Bank shares witness profit booking as investors cash in previous sessions gain. In a month, Yes Bank shares have skyrocketed by more than 44%. Its market cap is over 56,753 crore.

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