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This article is more than 1 year old.

Yes Bank's hurdle continues post FPO floor price announcement, stock down 8%

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Yes Bank's shares slumped for the third consecutive day on Tuesday after the private lender fixed floor price of its proposed follow-on public offer (FPO) at Rs 12 per share and a cap of Rs 13 per unit. The stock fell as much as 8 percent to Rs 20.30 apiece on the NSE. In the last 4 trading sessions, it has slumped 24 percent to current low levels

Yes Bank's hurdle continues post FPO floor price announcement, stock down 8%
Yes Bank's shares slumped for the third consecutive day on Tuesday after the private lender fixed a floor price of its proposed follow-on public offer (FPO) at Rs 12 per share and a cap of Rs 13 per unit. The stock fell as much as 8 percent to Rs 20.30 apiece on the NSE. In the last 4 trading sessions, it has slumped 24 percent to the current levels, while in the last 6 months, the shares have corrected by over 50 percent.
On Friday, the company announced that its Capital Raising Committee approved the Floor Price for the Rs 15,000 crore FPO at Rs 12 per equity share with a cap price of Rs 13 per share.
This is the largest FPO by any entity till now, and will suffice the bank's growth requirements for the next two years, said CEO Prashant Kumar.
A discount of Rs 1 per equity share will be given for the eligible employees of the bank bidding in the Employee Reservation Portion. The committee also approved a minimum bid lot of 1,000 Equity Shares and in the multiples of 1,000 Equity Shares thereafter, the bank said in a regulatory filing.
The offer comes as part of the lender's plans to raise up to Rs 15,000 crore by way of fresh issue of equity shares.
Meanwhile, a report said that the market regulator Securities and Exchange Board of India (Sebi) may look into a large number of share transactions of the bank under the Securities Lending and Borrowing Mechanism (SLBM).
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