Yes Bank is working on a plan to raise capital of 15 thousand crores. This is the reason why he is preparing to bring FPO.
The country’s largest bank SBI will invest Rs 1760 crore to increase its stake in Yes Bank, which is stuck in difficulties. State Bank said on Wednesday that it will invest Rs 1760 crore in Yes Bank’s follow on public offer ie FPO.
According to the information filed in the BSE, the Central Board Committee of the State Bank has approved investment of Rs 1760 crore in the FPO of Yes Bank. Banks and financial institutions hold 66.94 per cent stake in Yes Bank. SBI is the largest shareholder of Yes Bank. Its stake in the bank is 48.21 percent. Axis Bank holds 7.95 per cent and Axis Bank has 4.78 per cent.
Many banks and financial institutions invest 10 thousand crores in Yes Bank
On March 13 this year, the government approved the SBI-backed plan to bail out Yes Bank. According to this plan, SBI, HDFC, ICICI Bank, Kotak Mahindra Bank, Bandhan Bank, Federal Bank and IDFC First Bank had invested Rs 10,000 crore in Yes Bank. Under this process, Yes Bank’s AT1 bonds worth Rs 8415 crore had to be written down.
Yes Bank is working on a plan to raise capital of 15 thousand crores. This is the reason why he is preparing to bring FPO. Other banks and financial institutions have invested ten thousand crore rupees in the bank, but it still has to raise more capital. He also benefited by Rs 6,300 crore from the right down of AT1 bonds. Yes Bank had demanded interest on these bonds but the RBI rejected it. After Yes Bank got into trouble, RBI showed a great role in raising investors for this, showing readiness.