Yes Bank gets shareholder nod to raise Rs 20,000 crore

Private sector lender Yes Bank today said it has received shareholder nod to raise Rs 20,000 crore in debt instruments through various routes. “The shareholders approved through special resolution the proposal to borrow/raise funds in Indian/foreign currency by the issue of debt securities including but not limited to non-convertible debentures, medium term notes and bonds up to a total amount of Rs 20,000 crore,” it said.

The statement comes a day after the bank’s annual general meeting which also approved to raise the total borrowing limit of the bank to Rs 70,000 crore through a special resolution. The bank said all the eight resolutions which were put up at the meeting passed with “overwhelming majority” at the AGM.

It can be noted that the bank was found to have under-reported non-performing assets by over Rs 4,000 crore in the financial year 2015-16 by the Reserve Bank. The bank had to disclose the “divergence” as per a recent directive of the central bank and this had led to concerns among investors. Among other approvals, the shareholders also ratified the appointment of B S R and Co. LLP, Chartered Accountants, as statutory auditors of the bank.

The other approvals received include the appointment of Debjani Ghosh as an independent director for a period of 5 years and re-appointment of Ajai Kumar as non-executive non-independent director. They also approved the board recommendation of a dividend payout at Rs 12 per equity share, it said.

The bank shareholders adopted the annual audited financial statement for the year ended March 31, 2017. The Yes Bank scrip was trading down 0.82 per cent at Rs 1,490.60 a share on the BSE as against gains of 0.05 per cent on the benchmark, at 1324 hrs.

Yes Bank