Priyanka Tiwari
Share
Suspense crime, Digital Desk : Yes Bank's stock is currently a hot topic among investors, with several significant developments influencing its performance on the Indian stock exchanges. Two major pieces of news are particularly noteworthy: a regulatory nod for HDFC Bank to acquire a stake and Yes Bank's own ambitious fundraising plans.
In a major boost, the Reserve Bank of India (RBI) has given its approval for HDFC Bank to acquire an aggregate holding of up to 9.50% of Yes Bank's paid-up share capital or voting rights. This approval, valid for one year, is seen as a positive signal for Yes Bank, potentially paving the way for a strategic investment from one of India's largest private sector banks.
Adding to the activity, Yes Bank's board of directors recently sanctioned proposals to raise substantial funds. The bank aims to borrow up to ₹10,000 crore through the issuance of debt securities, which could include instruments like non-convertible debentures (NCDs) and bonds. These funds would be raised in one or more tranches. Furthermore, the bank is also exploring avenues to raise fresh equity capital. Options on the table include a Follow-on Public Offer (FPO), a Qualified Institutional Placement (QIP), or other permissible methods of issuing shares.
On the trading front, Yes Bank's shares have seen active movement. For instance, on June 3rd (the date of the original article's live updates), the stock was observed trading around ₹24.40 on the National Stock Exchange (NSE) during morning hours, reflecting a slight uptick. This followed a previous close which the report noted as ₹24.25. The stock experienced fluctuations, typical of market dynamics, with investors reacting to the flow of news.
These developments – the potential HDFC Bank stake and the comprehensive fundraising initiatives – are crucial for Yes Bank as it continues to strengthen its financial base and pursue growth opportunities. Investors are closely monitoring the execution of these plans and their potential impact on the bank's future prospects and stock valuation.
Read More: Integrated Industries Multibagger Stock Turns One Lakh Rupees into Six Crores in Five Years
