Mumbai : YES BANK, pursuant to the allotment of its equity shares on August 15, 2019, has raised Rs. 1930 crores through the Qualified Institution Placement (QIP) route. The QIP opened on August 08,2019 and closed on August 14,2019.
The Bank allotted 23.1 crores equity shares of face value of Rs. 2 each to eligible qualified institutional buyers (QIBs) at Rs 83.55 per Equity Share, in accordance with the pricing formula provided under Regulation 176(1) of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018.
The QIP increases the Bank’s Total Capital Adequacy Ratio to 16.2%, Tier I Ratio to 11.3% and Core Equity Tier I Ratio to 8.6%, ensuring that the Bank remains capitalized well above the regulatory limits.
Post QIP Issuance considering position as at June 30, 2019(including profits for the Q1FY20) The issue saw strong response from foreign as well as from domestic QIBs. The overall allocation to foreign institutional investors is approximately 34% from USA/Europe, 40% fromAsia, and balance from domestic insurance companies and mutual funds highlighting a welldiversified representation and demand from across the world. The QIP also enables a further diversification of the shareholder base of YES BANK.
“We are delighted with how our fund raise has been supported by marquee global and domestic investors. We maximised the size to the extent of the (up to) 10% dilution limit currently approved by our shareholders. The success of the QIP is extremely satisfying given the strong global and domestic headwinds and a credit environment beset with challenges. We see this as a strong endorsement by the investor community of the inherent strengths of the YES BANK franchise and its future growth prospects” Ravneet Gill, Managing Director and CEO of YES BANK, said.