Yes Bank to raise up to Rs 15,000 crore through FPO; offer to open on Jul 15

New Delhi, July 9 dmanewsdesk:  Private sector lender Yes Bank on Thursday said it has filed a red herring prospectus to raise up to Rs 15,000 crore through issuance of fresh equity shares in its further public offering (FPO).

The offer will open on July 15, 2020 and close on July 17, 2020.

Earlier this week Yes Bank had received approval from the capital-raising committee (CRC) of its board of directors to raise funds through the offering.

“The bank has filed a red herring prospectus dated July 7, 2020 (RHP), in connection with the offer, with the Registrar of Companies, Maharashtra at Mumbai,” Yes Bank said in a regulatory filing.

Yes bank said the offer size of the FPO is Rs 15,000 crore, by way of a fresh issue of equity shares, including an employee reservation portion of up to Rs 200 crore.

The executive committee of State Bank of India’s central board has given approval for a maximum investment of up to Rs 1,760 crore in the FPO of Yes Bank, an SBI statement said on Wednesday.

On March 13, the government had approved a bailout plan for Yes Bank. Under the plan, Yes Bank had received around Rs 10,000 crore from eight financial institutions, including Rs 6,050 crore from SBI.

On Tuesday, Yes Bank had said a meeting of the CRC of the bank is scheduled to be held on or after July 10, 2020, to consider and approve, amongst other things, the price band and discount, if any.

Shares of Yes Bank were trading 2.49 per cent higher at Rs 26.75 apiece on BSE.

Source: PTI