YES Bank block deal: Shares tumble 10%, investors await board meeting outcome; check details

“…the meeting of the Board of Directors of YES Bank Limited (the Bank) is scheduled to be held on Tuesday, June 03, 2025, inter alia, to consider raising of funds by way of issuance of equity shares, debt securities and/or any other eligible securities (convertible/non-convertible) through permissible modes, including but not limited to a private placement, preferential issue or any other method or combination of methods, subject to such approvals as may be required,” the bank had said in a statement to exchanges.

The fundraising meet comes after State Bank of India (SBI) plans to sell a 13.19% stake in YES Bank to Japanese financial services firm Sumitomo Mitsui Banking Corporation (SMBC). SBI will sell the stake at ₹21.50 per equity share for a total consideration of ₹8,889 crore, the bank had said a few days back.

Last seen, shares of YES Bank were trading at ₹20.97 apiece, declining 9.92%. It had touched its intraday low of ₹20.71 apiece so far.

The fundraising meet comes after State Bank of India (SBI) plans to sell a 13.19% stake in YES Bank to Japanese financial services firm Sumitomo Mitsui Banking Corporation (SMBC). SBI will sell the stake at ₹21.50 per equity share for a total consideration of ₹8,889 crore, the bank had said a few days back.

At the end of the March quarter, SBI held a 23.97% stake in YES Bank, and after the deal gets executed, its stake in the bank will come down to 10.78%.

However, YES Bank denied that report, issuing a statement to the exchanges. “In this regard, the Bank is not privy to discussions in relation to matters stated in the article. Further, references to the Bank having ‘road map’ discussions with the RBI are factually incorrect. The bank will comply with the requirements of Regulation 30 of the Listing Regulations, as and when required,” the private lender said in a statement to exchanges.

The private lender had reported a net profit of ₹738 crore in the quarter ended March 2025, marking an increase of 63% from ₹452 crore in the same period last year. The sharp jump in net profit came on the back of lower provisioning.

The bank's provisions for bad loans declined to ₹318 crore as against ₹471 crore in the year-ago period.

YES Bank's net interest income, or the difference between interest earned on loans and expended on deposits, came in at ₹2,276.36 crore, up nearly 6% from ₹2,153 crore in the corresponding period last year.

The Mumbai-based lender's asset quality remained stable at the end of the March quarter as its gross non-performing assets (NPA), as a percentage of total advances, came in unchanged at 1.60% sequentially. In absolute terms, gross NPA stood at ₹3,935.61 crore.