Yes Bank Shares Jump Nearly 39% on Receiving $1.2 bn Offer from a Global Investor
At 3:14 pm, shares of Yes Bank were trading at Rs 70.05, up 23.3%, after hitting an intra-day high of Rs 78.70. The stock has recovered over 48% in the past five trading sessions and 171% from its all-time low of Rs 29 hit on 1 October.
Image for representation. (Photo Reuters)
Yes Bank Ltd shares shot up nearly 39% in intra-day trade on Thursday after the lender informed stock exchanges that it has received a binding offer of $1.2 billion from a global investor through fresh issuance of equity shares.
The offer is still at the proposal stage and is subject to regulatory, board and shareholders’ approvals. Yes Bank added that it continues to be in advanced discussions with other global and domestic investors as well.
A media report said that the binding offer has been made by Hong Kong-based SPGP Holdings, adding that the board is likely to consider the proposals by SPGP and others along with quarterly results on 1 November.
At 3:14 pm, shares of Yes Bank were trading at Rs 70.05, up 23.3%, after hitting an intra-day high of Rs 78.70. Notably, the stock has recovered over 48% in the past five trading sessions and 171% from its all-time low of Rs 29 hit on 1 October.
Anusha Raheja, research analyst at LKP Securities, said that apart from maintaining minimum capital requirements, the amount of $1.2 billion is sizeable enough to take care of Yes Bank’s future growth as well.
Market expert Prakash Diwan also stated that if Yes Bank’s quarterly results on 1 November won’t show any fresh slippages, then there would be rerating and return of faith in the bank with the current round of fund-raising.
On September 25, Yes Bank had talked about its capital-raising plans, saying it had received strong interest from multiple foreign and domestic private equity and strategic investors.
Get the best of News18 delivered to your inbox - subscribe to News18 Daybreak. Follow News18.com on Twitter, Instagram, Facebook, Telegram, TikTok and on YouTube, and stay in the know with what's happening in the world around you – in real time.
Recommended For You
- Swara Bhaskar on Abusing Child Actor on a Show: Was Narrating a Funny Incident
- Sara Ali Khan's Fitness Regime Shows How She Gets Ready for a Guilt-Free Vacation
- Indian Jam Project's Tushar Lall Puts a Desi Spin on 'Hey Jude' in New Beatles Tribute
- Shashi Tharoor's 'Simple and Old' Word of Advice to Student Who Wants to Learn a New Word
- Adidas Gives up on Robot Factories And Wants Humans in Asia to Make More Shoes