Private lender YES Bank’s stocks plunged nearly 12 per cent on the BSE on Wednesday, closing at Rs 161.70 on BSE. This is the lowest for the bank in the past 32 months, with downgrade from ratings agency Moody’s adding to the simmering investor discomfort. Numerous exits from the bank’s board, uncertainty around its succession and the stretched out conflict between two promoter groups point towards a further downfall in its market value.

The bank announced it will submit names of the the new chairman for the Reserve Bank of India's (RBI's) approval and consider the proposals for appointment of independent directors at a board meeting to be held on December 13.

The bank saw four board-level exits in the past few months, raising questions of corporate governance, with the R Chandrashekhar being the latest one. He resigned due to discontent over the internal processes of the bank. Previously, the bank’s chairman Ashok Chawla resigned, while former State Bank of India Chairman O P Bhatt resigned from the committee searching for a MD & CEO.

Kapoor’s three daughters — Rakhee Kapoor Tandon, Radha Kapoor Khanna, and Roshini Kapoor — are directors of two holding firms of the bank, Yes Capital (India) and Morgan Credits.

“Morgan Credits or Yes Capital or the start-up ventures have no involvement and/or commercial dealings with YES Bank, except that the companies are amongst the promoter shareholders of YES Bank. They hold 3.04 per cent and 3.27 per cent shares respectively, said a statement issued by Three Sisters: Institutional Office — the investment vehicle of Rana Kapoor’s daughters. It added that both institutions run independently. The statement also said that Rana Kapoor is also not involved in any capacity, including as a shareholder, director or management of these companies, it added.

The bank plans to submit its list of candidates for MD & CEO to the RBI by December 15. Ratings agency Moody’s on Tuesday downgraded the bank’s instruments and changed its outlook on the bank from stable to negative. It said that the resignation of the bank’s various board members, seen in conjunction with RBI cutting Kapoor’s term, have raised concerns over corporate governance.