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By Nisha Poddar Jul 30, 2022 3:54:32 PM IST (Updated)
Yes Bank has announced fund raising to the tune of $1.1 billion from Carlyle & Advent. In an interview with CNBC-TV18, Sunil Kaul, Managing Director and Financial Services Sector Lead, Carlyle Asia, said that he expects the deal to be completed in 4-10 weeks. Watch the full interview here:
Yes Bank has announced fund raising to the tune of $1.1 billion from Carlyle & Advent. Each of the private equity players will own 10 percent stake in Yes Bank via mix of equity and warrants. Both Carlyle & Advent have sought board position.
The bank proposes to issue 370 crore equity shares on a preferential basis at a price of Rs 13.78 per share and 257 crore warrants convertible into equity shares at a price of 14.82 per warrant, adding Rs 8,900 crore to the equity capital base of the lender.
The bank will hold an extraordinary general meeting (EGM) on August 24 for shareholders' approval while the deal will also need the Reserve Bank of India's (RBI) nod.
The capital raise will further bolster the capital adequacy of Yes Bank and aid the bank’s medium to long-term sustainable growth objectives.
In an interview with CNBC-TV18, Sunil Kaul, Managing Director and Financial Services Sector Lead, Carlyle Asia, said that he expects the deal to be completed in 4-10 weeks and that the warrants will be converted to equity in 18 months.
Watch the accompanying video for the full interview