Yes Bank plans to raise Rs. 8000 crore via share sale in public issue

As per sources privy to the development, Yes Bank is mulling to raise at least Rs. 8000 crore via rights issue. This the bank aims to do to augment its capital base.

As the bank is soon to begin its fund raising spree, the lender’s tier-I core capital ratio would increase to around 10% from 6.3% as at the end of March.

In a filing in March when the beleaguered lender was rescued by the RBI, the bank said it can issue instruments that includes shares or convertible bonds.

A share sale would follow Yes Bank’s regulatory application to fast-track its capital raising after the lender’s stock rebounded 73% since the Reserve Bank of India rescued it in March. The bank’s CEO Prashant Kumar said the bank plans to mop up a sum of Rs. 15000 crore.

Considerations on different funding source are currently underway and the plan could still be changed.

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