&w=3840&q=100)
Yes Bank to raise ₹16,000 crore via equity and debt; caps dilution at 10%
Private-sector lender Yes Bank has announced plans to raise up to ₹16,000 crore through a mix of equity and debt instruments, following a board resolution passed late on June 3.
According to an exchange filing, the bank aims to raise up to ₹7,500 crore via equity issuance and ₹8,500 crore via debt instruments, including in Indian or foreign currency. The bank emphasised that the total equity dilution, including any conversion of debt to shares, will not exceed 10 per cent.
Yes Bank has not specified how the funds will be utilised, but such capital raises are typically aimed at improving capital adequacy, supporting growth, and enhancing lending capacity.
Fund-raising follows landmark SMBC share purchase deal
The announcement follows the recent agreement with Japan's Sumitomo Mitsui Banking Corporation (SMBC), which is acquiring a 20 per cent stake in Yes Bank from eight existing shareholders, including 13.19 per cent stake from the State Bank of India (SBI) and a combined 6.81 per cent from seven other Indian banks, including Axis Bank, HDFC Bank, ICICI Bank, and Kotak Mahindra Bank.
As part of the conditions of the share purchase agreement signed on May 9, 2025, the board also approved amendments to the Articles of Association (AoA) of the bank. These changes incorporate rights of SMBC and SBI, which are subject to specific ownership thresholds, 10 per cent for SMBC and 5 per cent for SBI, according to the shareholder agreements.
The fund-raising and AoA amendments will be presented for shareholder approval, along with any necessary RBI or regulatory clearances. The bank noted that the resolutions are 'enabling in nature' and meant to offer flexibility in execution based on market conditions.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Economic Times
an hour ago
- Economic Times
Lending rates to fall by 30 bps after RBI policy cut: SBI Report
Lending rates are expected to fall by around 30 basis points (bps) following the recent policy rate cut, according to a report by the State Bank of India (SBI). The report highlighted that the immediate impact will be seen on loans linked to the external benchmark lending rate (EBLR), which make up about 60 per cent of the loan book of All Scheduled Commercial Banks (ASCBs). SBI said, "The steep cut on policy rates is expected to pass on to the EBLR linked loan book immediately with ASCB share of 60 per cent. Thus immediate impact on average lending rate could be around 30".The report said the sharp policy rate cut will quickly pass through to the EBLR-linked loans, lowering borrowing costs for many customers. However, this drop in lending rates may affect banks' margins. To help manage this impact, the Reserve Bank of India (RBI) also reduced the Cash Reserve Ratio (CRR), which is expected to bring down the cost of funds for banks. SBI stated "The reduction in CRR may not mathematically translate to any change in deposits and lending rates, however, it may have positive impact on margins (3-5 bps on NIM) of the banks".The report estimated that bank margins or Net Interest Margins (NIM) could improve by 3 to 5 bps due to the lower CRR. The CRR cut will also reduce the base money (M0) in the system, increasing the money multiplier by 20 to 30 bps, which could have a positive effect on overall banks have already started lowering fixed deposit (FD) rates. Since February 2025, FD rates have been reduced by 30 to 70 bps. The report expects this trend to continue, with further cuts likely in the coming data shows that cuts in policy rates generally lead to pressure on bank margins. While the exact impact will differ across individual banks, a general compression in NIM is expected. The SBI report added that the future path of monetary policy will depend on economic data and evolving conditions. While policy space is limited, the recent large profit transfer from the RBI to the government has improved fiscal flexibility. For now, the report expects no change in policy rates in the next quarter.
Economic Times
an hour ago
- Economic Times
Hustle culture or harassment? Techie shares her traumatic experience at dream startup: 'Was gaslighted for 3 years'
A young graduate faced harassment at an Indian SaaS startup. A senior leader assaulted her. HR offered no real help. She faced retaliation for speaking out. The company promoted mental health but silenced her. A co-founder acknowledged the abuse but did nothing. She suffered emotional and professional damage. The startup continues to promote its image. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Starting a career with a startup has become increasingly common among young graduates, promising rapid learning, diverse responsibilities, and the chance to be part of something from the ground up. But beneath this appealing exterior often lies a turbulent and unpredictable reality—one that blurs personal boundaries, disregards employee safety, and prizes image over 2022, a fresh graduate took her first step into the corporate world, joining a high-profile Indian SaaS startup focused on identity verification. Backed by elite investors and founded by business school alumni, the company appeared to embody promise and prestige. However, the glitter faded quickly. Within weeks, she was subjected to disturbing acts of misconduct. A senior leader, much older and in a position of power, made a non-verbal demand for physical contact—an inappropriate and humiliating request. Just days later, at a company event, the same man assaulted her while she was intoxicated, physically picking her up and ignoring her repeated pleas to immediate aftermath was marked by disbelief and betrayal. Her attempt to seek help through the HR department resulted in shallow assurances but no real action. Despite being encouraged to file a formal complaint, fear held her back. New to the workforce and only 21, she didn't feel safe challenging the very people in control of her she confronted the man who harassed her, he downplayed the incident with manipulative justifications and thinly veiled threats, suggesting he'd walked away from similar situations before. As she refused to stay silent, the retaliation began. Excluded from meetings, projects, and informal gatherings, she was systematically isolated and humiliated. The psychological toll deepened with each passing hostile environment wasn't limited to a single incident or individual. Even her female reporting manager crossed boundaries by asking extremely personal and inappropriate questions during the first week. It was clear that workplace harassment had been normalized within the company's culture of manipulation and gaslighting chipped away at her mental and physical health. Frequent illnesses, anxiety, and emotional breakdowns became part of her daily life. Conversations felt like navigating a maze filled with hidden traps. She found herself alone in a place that publicly celebrated trust and the startup continued to build its brand around mental health awareness and inclusivity while silencing voices like hers. Senior leaders mocked women's safety laws behind closed doors. When she raised concerns with one of the co-founders, he offered only passive resignation, acknowledging the abuse while doing nothing to address years later, she still bears the scars—emotional, mental, and professional. Her confidence eroded, her personal life was disrupted, and her career was derailed before it truly began. While the startup continues to promote its polished image and attract investments, she's left grappling with lasting story is a stark reminder that "culture" is not built through slogans, TED Talks, or branding campaigns. It's revealed in how power is wielded when no one is watching—and in whether people feel safe when they speak up.
Mint
an hour ago
- Mint
‘My father had a burning desire…': Mukesh Ambani donates ₹151 crore to his Alma Mater ICT Mumbai
Mukesh Ambani, Chairman and Managing Director, Reliance Industries announced an unconditional grant of ₹ 151 crore to the Institute of Chemical Technology, Mumbai, from where he graduated in the 1970s. Ambani spent over three hours on Friday at the institute (ICT), which back then was called the University Department of Chemical Technology (UDCT). He was there to attend the function to publish Professor MM Sharma's biography titled 'Divine Scientist'. He also reminisced how the first lecture he attended at UDCT by Professor Sharma motivated him and how Prof. Sharma later played a role of quiet architect of India's economic reforms. Prof. Sharma impressed upon the policymakers that the only way for India to grow was to unshackle Indian industry from license-permit-raj which will allow Indian players to build scale, reduce dependence on imports and compete globally. "Like my father Dhirubhai Ambani, he had a burning desire to change Indian industry from scarcity to global leadership," said Ambani. He further added, "These two bold visionaries believed that science and technology, in alliance with private entrepreneurship, would open the floodgates of prosperity." Crediting the rise of Indian chemical industry to Prof Sharma's efforts, Ambani in his speech also referred him as 'a Rashtra Guru - a Guru of Bharat'. When speaking of 'Guru Dakshina', Ambani announced the unconditional grant of ₹ 151 crore to ICT according to the instructions of Prof. Sharma. "When he tells us something, we just listen. We don't think. He told me 'Mukesh you have to do something big for ICT, and I am very pleased to announce that for Prof Sharma," Ambani said while referring to the grant.
