Yes, bank stocks climb 13% after it was reported that lenders have hired Anshu Jain to raise funds

0
53
<pre><pre>Carrots and sweet potatoes are dropped for animals in Australia in the midst of the bushfire crisis

The stock has lost nearly 17% in the past 1 months and a whopping 80% in the past 1 years due to concerns about its financial health.

Yes, bank stocks climb 13% after it was reported that lenders have hired Anshu Jain to raise funds
Image for illustration. (Photo: Reuters)

Yes Bank Ltd shares rose over 13% in intraday trading on Wednesday after a media report announced that the private sector lender had hired investment banker Anshu Jain to help the bank raise funds.

At 11:50 a.m., Yes Bank shares were up 7% at 37.40 rupees each after hitting the daily high of 39.70 rupees. The stock has lost nearly 17% in the past 1 months and a whopping 80% in the past 1 years due to concerns about its financial health.

According to a report in the Economic Times, Yes Bank commissioned Anshu Jain to raise the money for the lender after receiving approval from the board last month to raise up to $ 2 billion. Anshu Jain is a former Co-CEO of Deutsche Bank and currently President of Cantor Fitzgerald, an investment bank and brokerage firm.

The development is significant as India Ratings recently downgraded Yes Bank's ratings and it will be difficult for lenders to raise substantial capital in the near future. Recall that Yes Bank's board of directors decided to discontinue Erwin Singh Braich / SPGP Holdings' proposed investment offer despite being open to reviewing the $ 500 million offer from Citax Holdings and Citax Investment Group ,

Interestingly, Yes Bank's independent director, Uttam Prakash Agarwal, had resigned last month.

Agarwal was reported to have written a letter to Sebi chairman Ajay Tyagi and all member G. Mahalingam, asking the market regulator to investigate whether the process followed during the fund raising process by MD and CEO Ravneet Gill of the bank was lawful ,

Get the best of News18 in your inbox – subscribe to News18 Daybreak. Follow News18.com on Twitter, Instagram, Facebook, Telegram, TikTok and on YouTube and stay up to date with what's happening in the world around you – in real time.