New Delhi: Shares of Yes Bank on Monday morning jumped over 8 per cent after State Bank of India and seven other lenders announced selling 20 per cent of their combined stakes in the firm to Japan's Sumitomo Mitsui Banking Corporation (SMBC) for a consideration of Rs 13,483 crore.
The stock climbed 8.7 per cent to Rs 21.74 on the BSE.
At the NSE, shares of the firm surged 8.39 per cent to Rs 21.70.
The company's market valuation went up by Rs 1,415.15 crore to Rs 64,123.38 crore.
State Bank of India (SBI) and seven other lenders on Friday announced selling 20 per cent of their combined stakes in Yes Bank to Japan's Sumitomo Mitsui Banking Corporation for a consideration of Rs 13,483 crore, making it the largest cross-border investment in the Indian banking sector.
Following completion of the transaction, SMBC will become the single largest shareholder of the Mumbai-based Yes Bank.
Of the 20 per cent stake, SBI would dilute 13.19 per cent stake in Yes Bank in favour of SMBC for a consideration of Rs 8,889 crore, while 6.81 per cent shareholding will be offloaded by seven other lenders -- Axis Bank, Bandhan Bank, Federal Bank, HDFC Bank, ICICI Bank, IDFC First Bank and Kotak Mahindra Bank -- for about Rs 4,594 crore.
SBI and the seven investor lenders had invested in the bank as part of the YES Bank Reconstruction Scheme in March 2020.
The executive committee of the central board (ECCB) of the bank in the meeting has accorded approval to divest 413.44 crore shares or equivalent to 13.19 per cent stake in Yes Bank for a consideration of Rs 8,888.97 crore, SBI had said in a regulatory filing.
(Except for the headline, this article has not been edited by FPJ's editorial team and is auto-generated from an agency feed.)
