Yes Bank raises Rs 4906 crore through QIP
MUMBAI: Yes Bank has raised Rs 4,906.65 crore by selling 3.27 crore shares at Rs 1500 a piece to domestic and international investors in qualified institutional placement that closed last week, the bank said in a statement.
The fresh funds will increase the bank's capital adequacy ratio to 20% helping fuel the bank's growth in the next few years.
"The capital raising committee, a subcommittee of the board of Yes Bank, has finalized the allotment of 3.27 cr shares thus completing the highly successful Qualified Institutions Placement raising Rs 4,906.65 crores (USD 750 million). The allotment of shares was done across a diverse set of investors at Rs.1500 per share," the bank said in a late night statement.
More than half or 60% of the shares were bought by global insurance and pension funds, 20% by domestic funds and remaining 20% by international hedge funds.
" Yes Bank's Rs 4,906.65 crore ( $750 mn) QIP is India's largest private sector QIP in rupee terms and a transaction of significant magnitude for our bank. We are delighted that marquee institutional investors including long only funds, mutual funds, insurance companies and pension funds etc. have reposed their investor commitment in Yes Bank's robust financial and business model. The QIP will significantly boost our capital adequacy and ensure that YES BANK is well positioned to capitalise on the opportunities provided by the re-invigorated economic environment in India," said Rana Kapoor, founder and MD at Yes Bank.
The share sale received demand from all classes of global investors across the world and will further diversify the bank's shareholder base.
CLSA India, DSP Merrill Lynch, IIFL Holdings and Motilal Oswal were the bankers to the issue.
The fresh funds will increase the bank's capital adequacy ratio to 20% helping fuel the bank's growth in the next few years.
"The capital raising committee, a subcommittee of the board of Yes Bank, has finalized the allotment of 3.27 cr shares thus completing the highly successful Qualified Institutions Placement raising Rs 4,906.65 crores (USD 750 million). The allotment of shares was done across a diverse set of investors at Rs.1500 per share," the bank said in a late night statement.
More than half or 60% of the shares were bought by global insurance and pension funds, 20% by domestic funds and remaining 20% by international hedge funds.
" Yes Bank's Rs 4,906.65 crore ( $750 mn) QIP is India's largest private sector QIP in rupee terms and a transaction of significant magnitude for our bank. We are delighted that marquee institutional investors including long only funds, mutual funds, insurance companies and pension funds etc. have reposed their investor commitment in Yes Bank's robust financial and business model. The QIP will significantly boost our capital adequacy and ensure that YES BANK is well positioned to capitalise on the opportunities provided by the re-invigorated economic environment in India," said Rana Kapoor, founder and MD at Yes Bank.
The share sale received demand from all classes of global investors across the world and will further diversify the bank's shareholder base.
CLSA India, DSP Merrill Lynch, IIFL Holdings and Motilal Oswal were the bankers to the issue.
