Private lender YES Bank on Friday announced a $1.1 billion (Rs 8,900 crore) equity raise through funds affiliated with global private equity investors Carlyle and Advent International. Each investor potentially gets up to 10 percent, YES Bank said in a filing.
“This will be raised through a combination of $640 million (Rs 5,100 crore) in equity and $475 million (Rs 3,800 crore) through stock warrants,” YES Bank said.
On Friday, shares of YES Bank closed at Rs 14.94, up 2.47 percent from the previous close on the BSE.
“The capital increase will further strengthen YES Bank’s capital adequacy and help it achieve its medium to long-term sustainable growth objectives. Once approved, this would be one of the largest private equity raises by an Indian private sector bank,” it said.
The fundraising plan is subject to shareholder approval at an extraordinary general meeting to be held on August 24.