Yes Bank shares zoom 25% after board approves fund raising plan
Shares of Yes Bank on Friday gained sharply by 25 per cent after the board of directors of the lender approved a proposal to raise Rs 5,000 crore.
The scrip zoomed 23.26 per cent to a high of Rs 32.85 on the BSE and the NSE, it advanced 25 per cent to Rs 33.25. The board meeting held on Thursday cleared this proposal. With this, the new board also came to force with Prashant Kumar formally becoming the MD and CEO of Yes Bank.
This fund raising will be over and above the Rs 10,000 crore cleared in February 7, 2020 board meeting. The board at its meeting has approved subject to receipt of requisite approvals, raising of funds for an additional amount aggregating up to Rs 5,000 crore, Yes Bank said in a regulatory filing.
The fund may be raised in one or more tranches by "way of issuance of securities but not limited to through a qualified institutions placement/ public issue, rights issue, global depository receipts, American depository receipts, foreign currency convertible bonds or any other permissible mode," it said.
So, in aggregate the fund raising cannot exceed Rs 15,000 crore, it added.
